Document and Entity Information
Document and Entity Information Document - shares | 9 Months Ended | |
Sep. 30, 2018 | Nov. 06, 2018 | |
Entity Information [Line Items] | ||
Entity Registrant Name | PBF HOLDING Co LLC | |
Entity Central Index Key | 1,566,011 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2018 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2,018 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Current Reporting Status | Yes | |
Entity Common Stock, Shares Outstanding | 0 | |
PBF Finance Corporation [Member] | ||
Entity Information [Line Items] | ||
Entity Registrant Name | PBF FINANCE CORPORATION | |
Entity Central Index Key | 1,566,097 | |
Entity Common Stock, Shares Outstanding | 100 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2016 |
Current assets: | |||||
Cash and cash equivalents | $ 1,013,394 | $ 526,160 | $ 241,745 | $ 241,745 | $ 626,705 |
Accounts receivable | 1,064,801 | 951,129 | |||
Accounts receivable - affiliate | 17,659 | 8,352 | |||
Inventories | 2,561,106 | 2,213,797 | |||
Prepaid and other current assets | 58,187 | 49,523 | |||
Total current assets | 4,715,147 | 3,748,961 | |||
Property, plant and equipment, net | 2,860,390 | 2,805,390 | |||
Investment in equity method investee | 168,763 | 171,903 | |||
Deferred charges and other assets, net | 851,842 | 779,924 | |||
Total assets | 8,596,142 | 7,506,178 | |||
Current liabilities: | |||||
Accounts payable | 481,200 | 572,932 | |||
Accounts payable - affiliate | 33,454 | 40,817 | |||
Accrued expenses | 2,129,768 | 1,800,859 | |||
Current debt | 1,242 | 10,987 | |||
Deferred revenue | 11,971 | 7,495 | |||
Note payable | 0 | 5,621 | |||
Total current liabilities | 2,657,635 | 2,438,711 | |||
Long-term debt | 1,608,737 | 1,626,249 | |||
Deferred tax liabilities | 27,778 | 33,155 | |||
Other long-term liabilities | 240,498 | 223,961 | |||
Total liabilities | 4,534,648 | 4,322,076 | |||
Commitments and contingencies (Note 8) | |||||
Equity: | |||||
Member’s equity | 2,648,182 | 2,359,791 | |||
Retained earnings | 1,428,938 | 840,431 | |||
Accumulated other comprehensive loss | (26,477) | (26,928) | |||
Total PBF Holding Company LLC equity | 4,050,643 | 3,173,294 | |||
Noncontrolling interest | 10,851 | 10,808 | |||
Total equity | 4,061,494 | 3,184,102 | |||
Total liabilities and equity | $ 8,596,142 | $ 7,506,178 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Income Statement [Abstract] | ||||
Revenues | $ 7,642,471 | $ 5,475,816 | $ 20,882,542 | $ 15,239,265 |
Cost and expenses: | ||||
Cost of products and other | 6,876,698 | 4,411,809 | 18,578,457 | 13,326,396 |
Operating expenses (excluding depreciation and amortization expense as reflected below) | 409,600 | 389,504 | 1,223,798 | 1,224,757 |
Depreciation and amortization expense | 83,353 | 70,338 | 242,960 | 181,238 |
Cost of sales | 7,369,651 | 4,871,651 | 20,045,215 | 14,732,391 |
General and administrative expenses (excluding depreciation and amortization expense as reflected below) | 64,869 | 54,677 | 174,895 | 130,044 |
Depreciation and amortization expense | 2,594 | 2,572 | 7,871 | 10,355 |
Equity income in investee | (4,725) | (3,799) | (13,110) | (11,218) |
(Gain) loss on sale of assets | (43,745) | 28 | (43,072) | 940 |
Total cost and expenses | 7,388,644 | 4,925,129 | 20,171,799 | 14,862,512 |
Income from operations | 253,827 | 550,687 | 710,743 | 376,753 |
Other income (expense): | ||||
Change in fair value of catalyst leases | 1,630 | 473 | 5,783 | (1,011) |
Debt extinguishment costs | 0 | 0 | 0 | (25,451) |
Interest expense, net | (31,756) | (29,269) | (98,122) | (92,782) |
Other non-service components of net periodic benefit cost | 278 | (103) | 833 | (305) |
Income before income taxes | 223,979 | 521,788 | 619,237 | 257,204 |
Income tax (benefit) expense | (719) | (4,292) | (5,403) | 2,040 |
Net income | 224,698 | 526,080 | 624,640 | 255,164 |
Less: net income (loss) attributable to noncontrolling interests | 35 | (6) | 43 | 374 |
Net income attributable to PBF Holding Company LLC | $ 224,663 | $ 526,086 | $ 624,597 | $ 254,790 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 224,698 | $ 526,080 | $ 624,640 | $ 255,164 |
Other comprehensive income: | ||||
Unrealized (loss) gain on available for sale securities | (77) | (1) | (312) | 76 |
Net gain on pension and other post-retirement benefits | 254 | 288 | 763 | 862 |
Total other comprehensive income | 177 | 287 | 451 | 938 |
Comprehensive income | 224,875 | 526,367 | 625,091 | 256,102 |
Less: comprehensive income (loss) attributable to noncontrolling interests | 35 | (6) | 43 | 374 |
Comprehensive income attributable to PBF Holding Company LLC | $ 224,840 | $ 526,373 | $ 625,048 | $ 255,728 |
Condensed Consolidated Statem_3
Condensed Consolidated Statement of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Cash flows from operating activities: | ||
Net income | $ 624,640 | $ 255,164 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 255,614 | 197,365 |
Stock-based compensation | 14,059 | 13,549 |
Change in fair value of catalyst leases | (5,783) | 1,011 |
Deferred income taxes | (5,377) | 641 |
Non-cash change in inventory repurchase obligations | 10,701 | (26,659) |
Non-cash lower of cost or market inventory adjustment | (300,456) | (97,943) |
Debt extinguishment costs | 0 | 25,451 |
Pension and other post-retirement benefit costs | 35,536 | 31,682 |
Income from equity method investee | 13,110 | 11,218 |
Distributions from equity method investee | 13,110 | 16,897 |
(Gain) loss on sale of assets | (43,072) | 940 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (113,672) | (159,026) |
Due to/from affiliates | (16,670) | (2,318) |
Inventories | (46,853) | (349,189) |
Prepaid and other current assets | (8,664) | (4,107) |
Accounts payable | (106,155) | (103,069) |
Accrued expenses | 302,594 | 401,674 |
Deferred revenue | 4,476 | (9,044) |
Other assets and liabilities | (6,462) | (57,387) |
Net cash provided by operating activities | 594,456 | 124,414 |
Cash flows from investing activities: | ||
Expenditures for property, plant and equipment | (165,675) | (211,224) |
Expenditures for deferred turnaround costs | (201,029) | (341,598) |
Expenditures for other assets | (16,946) | (31,096) |
Proceeds from Sale of Productive Assets | 48,290 | 0 |
Equity method investment - return of capital | 3,140 | 451 |
Net cash used in investing activities | (332,220) | (583,467) |
Cash flows from financing activities: | ||
Contributions from PBF LLC | 287,000 | 97,000 |
Distributions to members | (36,090) | (39,315) |
Proceeds from 2025 Senior Notes | 725,000 | |
Repayments of Long-term Debt | (5,092) | (690,209) |
Proceeds from revolver borrowings | 0 | 490,000 |
Repayments of revolver borrowings | 0 | 490,000 |
Repayment of note payable | (5,621) | 0 |
Catalyst lease settlements | (9,466) | 0 |
Proceeds from insurance premium financing | 6,959 | 0 |
Deferred financing costs and other | (12,692) | (13,424) |
Net cash provided by (used in) financing activities | 224,998 | 74,093 |
Net increase (decrease) in cash and cash equivalents | 487,234 | (384,960) |
Cash and equivalents, beginning of period | 526,160 | 626,705 |
Cash and equivalents, end of period | 1,013,394 | 241,745 |
Non-cash activities: | ||
Accrued and unpaid capital expenditures | 48,460 | 33,120 |
Distribution of assets to PBF Energy Company LLC | 12,677 | 25,547 |
Conversion of affiliate notes payable to capital contribution | 0 | 86,298 |
Note payable issued for purchase of property, plant and equipment | 0 | 6,831 |
2025 Senior Notes [Member] | ||
Cash flows from financing activities: | ||
Proceeds from 2025 Senior Notes | 0 | 725,000 |
2020 Senior Secured Notes [Member] | ||
Cash flows from financing activities: | ||
Repayments of Long-term Debt | 0 | (690,209) |
Rail Term Loan [Member] | ||
Cash flows from financing activities: | ||
Repayments of Long-term Debt | $ (5,092) | $ (4,959) |
DESCRIPTION OF THE BUSINESS AND
DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION | 9 Months Ended |
Sep. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION | DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION Description of the Business PBF Holding Company LLC (“PBF Holding” or the “Company”), a Delaware limited liability company, and PBF Finance LP (“PBF Finance”), a wholly-owned subsidiary of PBF Holding, together with the Company’s consolidated subsidiaries, owns and operates oil refineries and related facilities in North America. PBF Holding is a wholly-owned subsidiary of PBF Energy Company LLC (“PBF LLC”). PBF Energy Inc. (“PBF Energy”) is the sole managing member of, and owner of an equity interest representing approximately 99.0% of the outstanding economic interest in, PBF LLC as of September 30, 2018 . PBF Investments LLC (“PBF Investments”), Toledo Refining Company LLC (“Toledo Refining” or “TRC”), Paulsboro Refining Company LLC (“Paulsboro Refining” or “PRC”), Delaware City Refining Company LLC (“Delaware City Refining” or “DCR”), Chalmette Refining, L.L.C. (“Chalmette Refining”), PBF Western Region LLC (“PBF Western Region”), Torrance Refining Company LLC (“Torrance Refining”) and Torrance Logistics Company LLC are PBF LLC’s principal operating subsidiaries and are all wholly-owned subsidiaries of PBF Holding. Collectively, PBF Holding and its consolidated subsidiaries are referred to hereinafter as the “Company”. PBF Logistics GP LLC (“PBF GP”) serves as the general partner of PBF Logistics LP (“PBFX”). PBF GP is wholly-owned by PBF LLC. In a series of transactions, PBF Holding distributed certain assets to PBF LLC, which in turn contributed those assets to PBFX (as described in “Note 7 - Related Party Transactions”). Substantially all of the Company’s operations are in the United States. As of September 30, 2018 , the Company’s oil refineries are all engaged in the refining of crude oil and other feedstocks into petroleum products, and have been aggregated to form one reportable segment. To generate earnings and cash flows from operations, the Company is primarily dependent upon processing crude oil and selling refined petroleum products at margins sufficient to cover fixed and variable costs and other expenses. Crude oil and refined petroleum products are commodities; and factors largely out of the Company’s control can cause prices to vary over time. The potential margin volatility can have a material effect on the Company’s financial position, earnings and cash flow. Basis of Presentation The unaudited condensed consolidated financial information furnished herein reflects all adjustments (consisting of normal recurring accruals) which are, in the opinion of management, considered necessary for a fair presentation of the financial position and the results of operations and cash flows of the Company for the periods presented. All intercompany accounts and transactions have been eliminated in consolidation. These unaudited condensed consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. These interim condensed consolidated financial statements should be read in conjunction with the financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2017 of PBF Holding Company LLC and PBF Finance Corporation. The results of operations for the three and nine months ended September 30, 2018 are not necessarily indicative of the results to be expected for the full year. Torrance Land Sale During the three months ended September 30, 2018, the Company closed on a third party sale of a parcel of real property acquired as part of the Torrance Refinery, but not part of the refinery itself. The sale resulted in a gain of approximately $43,761 included within Gain on sale of assets within the Condensed Consolidated Statements of Operations. Recently Adopted Accounting Guidance In May 2014, the Financial Accounting Standard Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09 (Topic 606) “Revenue from Contracts with Customers.” (“ASC 606”). ASC 606 supersedes the revenue recognition requirements in Accounting Standards Codification 605 “Revenue Recognition” (“ASC 605”), and requires entities to recognize revenue when control of the promised goods or services is transferred to customers at an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. The Company adopted ASC 606 as of January 1, 2018 using the modified retrospective transition method. See “Note 2 - Revenues” for further details. In March 2017, the FASB issued ASU No. 2017-07, “Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost” (“ASU 2017-07”), which provides guidance to improve the reporting of net periodic benefit cost in the income statement and on the components eligible for capitalization in assets. Under the new guidance, employers will present the service cost component of net periodic benefit cost in the same income statement line item(s) as other employee compensation costs arising from services rendered during the period. Only the service cost component will be eligible for capitalization in assets. Additionally, under this guidance, employers will present the other non-service components of the net periodic benefit cost separately from the line item(s) that includes the service cost and outside of any subtotal of operating income, if one is presented. Employers will apply the guidance on the presentation of the components of net periodic benefit cost in the income statement retrospectively. The guidance limiting the capitalization of net periodic benefit cost in assets to the service cost component will be applied prospectively. The guidance includes a practical expedient allowing entities to estimate amounts for comparative periods using the information previously disclosed in their pension and other postretirement benefit plan note to the financial statements. The amendments in this ASU are effective for annual periods beginning after December 15, 2017, including interim periods within those annual periods. The Company adopted ASU 2017-07 effective January 1, 2018 and applied the new guidance retrospectively in the Condensed Consolidated Statements of Operations. Income and expense amounts related to non-service components of net periodic benefit cost, historically recorded within Operating expenses and General and administrative expenses, have been recorded within Other income (expense). For the three and nine months ended September 30, 2018 , the Company recorded income of $278 and $833 , respectively, related to non-service components of net periodic benefit cost. For the three and nine months ended September 30, 2017 , the Company recorded expense of $103 and $305 , respectively, related to non-service components of net periodic benefit cost. In May 2017, the FASB issued ASU No. 2017-09, “Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting” (“ASU 2017-09”), which provides guidance to increase clarity and reduce both diversity in practice and cost and complexity when applying the existing accounting guidance on changes to the terms or conditions of a share-based payment award. The amendments in ASU 2017-09 require an entity to account for the effects of a modification unless all the following are met: (i) the fair value of the modified award is the same as the fair value of the original award immediately before the original award is modified; (ii) the vesting conditions of the modified award are the same as the vesting conditions of the original award immediately before the original award is modified; and (iii) the classification of the modified award as an equity instrument or a liability instrument is the same as the classification of the original award immediately before the original award is modified. The guidance in ASU 2017-09 should be applied prospectively. The amendments in this ASU are effective for annual periods beginning after December 15, 2017, including interim periods within those annual periods. The Company’s adoption of this guidance did not materially impact its condensed consolidated financial statements. Recent Accounting Pronouncements In February 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842)” (“ASU 2016-02”), to increase the transparency and comparability about leases among entities. Additional ASUs have been issued subsequent to ASU 2016-02 to provide supplementary clarification and implementation guidance for leases related to, among other things, the application of certain practical expedients, the rate implicit in the lease, lessee reassessment of lease classification, lessor reassessment of lease term and purchase options, variable payments that depend on an index or rate and certain transition adjustments (collectively, the Company refers to ASU 2016-02 and these additional ASUs as the “Updated Lease Guidance”). The Updated Lease Guidance requires lessees to recognize a lease liability and a corresponding lease asset for virtually all lease contracts. It also requires additional disclosures about leasing arrangements. The Updated Lease Guidance is effective for interim and annual periods beginning after December 15, 2018, and allows a modified retrospective approach to adoption. While early adoption is permitted, the Company will not early adopt the Updated Lease Guidance. The Company has established a working group to study the implementation of the Updated Lease Guidance and has instituted a task plan designed to meet the requirements and implementation deadline. The Company has also evaluated and purchased a lease software system, completed software design and configuration of the system, and substantially completed testing the implementation of the selected system. The working group continues to evaluate the impact of the Updated Lease Guidance on the Company’s consolidated financial statements and related disclosures and has designed and begun implementing business processes and controls to address the new guidance. While the assessment of this standard is ongoing, the Company has identified that the most significant impacts of the Updated Lease Guidance will be to bring nearly all leases, with the exception of certain short-term leases, on its balance sheet reflected as right of use assets and lease obligation liabilities as well as accelerating recognition of the interest expense component of financing leases. The new standard will also require additional disclosures for financing and operating leases. The Updated Lease Guidance allows for certain practical expedients, certain of which the Company has elected to adopt including, among others, the expedient to carry forward the classification of leases under current lease guidance once the Updated Lease Guidance becomes effective, the expedient to not include short-term leases on its balance sheet and to avail itself of the additional transition method whereby it will apply the Updated Lease Guidance on the effective date and recognize a cumulative-effect adjustment to opening retained earnings. In August 2017, the FASB issued ASU No. 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities” (“ASU 2017-12”). The amendments in ASU 2017-12 more closely align the results of cash flow and fair value hedge accounting with risk management activities in the consolidated financial statements. The amendments expand the ability to hedge nonfinancial and financial risk components, reduce complexity in fair value hedges of interest rate risk, eliminate the requirement to separately measure and report hedge ineffectiveness, and eases certain hedge effectiveness assessment requirements. The guidance in ASU 2017-12 should be applied using a modified retrospective approach. The guidance in ASU 2017-12 also provides transition relief to make it easier for entities to apply certain amendments to existing hedges (including fair value hedges) where the hedge documentation needs to be modified. The presentation and disclosure requirements of ASU 2017-12 should be applied prospectively. The amendments in this ASU are effective for annual periods beginning after December 15, 2018, including interim periods within those annual periods. While the Company is still evaluating the timing of adoption, it currently does not expect this guidance to have a material impact on its consolidated financial statements and related disclosures. In June 2018, the FASB issued ASU No. 2018-07, “Compensation - Stock Compensation (Topic 718): Targeted Improvements to Non-employee Share-Based Payment Accounting” (“ASU 2018-07”). ASU 2018-07 expands the scope of Topic 718, Compensation-Stock Compensation, to include share-based payment transactions for acquiring goods and services from nonemployees. As a result, nonemployee share-based transactions will be measured by estimating the fair value of the equity instruments at the grant date, taking into consideration the probability of satisfying performance conditions. In addition, ASU 2018-07 also clarifies that any share-based payment awards issued to customers should be evaluated under ASC 606, Revenue from Contracts with Customers. The amendments in this ASU are effective for annual periods beginning after December 15, 2018, including interim periods within those annual periods. Early adoption is permitted. The Company does not expect this guidance to have a material impact on its consolidated financial statements and related disclosures. In August 2018, the FASB issued ASU No. 2018-14, “Compensation - Retirement Benefits - Defined Benefit Plans - General (Subtopic 715-20), to improve the effectiveness of disclosures in the notes to financial statements by facilitating clear communication of the information required by GAAP that is most important to users of each entity’s financial statements. The amendments in this ASU modify the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. Additionally, the amendments in this ASU remove disclosures that no longer are considered cost beneficial, clarify the specific requirements of disclosures, and add disclosure requirements identified as relevant. The amendments in this ASU are effective for fiscal years ending after December 15, 2020, for public business entities and for fiscal years ending after December 15, 2021, for all other entities. Early adoption is permitted for all entities. The Company is currently evaluating the impact of this new standard on its consolidated financial statements and related disclosures. |
REVENUES (Notes)
REVENUES (Notes) | 9 Months Ended |
Sep. 30, 2018 | |
Revenues [Abstract] | |
Revenue from Contract with Customer [Text Block] | 2. REVENUES Adoption of Accounting Standards Codification (“ASC”) Topic 606, “Revenue from Contracts with Customers” Prior to January 1, 2018, the Company recognized revenue from customers when all of the following criteria were met: (i) persuasive evidence of an exchange arrangement existed, (ii) delivery had occurred or services had been rendered, (iii) the buyer’s price was fixed or determinable and (iv) collectability was reasonably assured. Amounts billed in advance of the period in which the service was rendered or product delivered were recorded as deferred revenue. Effective January 1, 2018, the Company adopted ASC 606. As a result, the Company has changed its accounting policy for the recognition of revenue from contracts with customers as detailed below. The Company adopted ASC 606 using the modified retrospective method, which has been applied for the three and nine months ended September 30, 2018 . The Company has applied ASC 606 only to those contracts that were not complete as of January 1, 2018. As such, the financial information for prior periods has not been adjusted and continues to be reported under ASC 605.The Company did not record a cumulative effect adjustment upon initially applying ASC 606 as there was not a significant impact upon adoption; however, the details of significant qualitative and quantitative disclosure changes upon implementing ASC 606 are detailed below. Revenue Recognition Revenues are recognized when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. The following table provides information relating to the Company’s revenues from external customers for each product or group of similar products for the periods presented: Three Months Ended 2018 2017 Gasoline and distillates $ 6,227,509 $ 4,657,279 Feedstocks and other 552,683 193,519 Asphalt and blackoils 544,943 361,401 Chemicals 243,174 189,812 Lubricants 74,162 73,805 Total Revenues $ 7,642,471 $ 5,475,816 Nine Months Ended 2018 2017 Gasoline and distillates $ 17,563,586 $ 12,900,465 Asphalt and blackoils 1,251,007 834,260 Feedstocks and other 1,195,589 728,880 Chemicals 621,834 553,311 Lubricants 250,526 222,349 Total Revenues $ 20,882,542 $ 15,239,265 The Company’s revenues are generated from the sale of refined petroleum products. These revenues are largely based on the current spot (market) prices of the products sold, which represent consideration specifically allocable to the products being sold on a given day, and the Company recognizes those revenues upon delivery and transfer of title to the products to our customers. The time at which delivery and transfer of title occurs is the point when the Company’s control of the products is transferred to the Company’s customers and when its performance obligation to its customers is fulfilled. Delivery and transfer of title are specifically agreed to between the Company and customers within the contracts. The Company also has contracts which contain fixed pricing, tiered pricing, minimum volume features with makeup periods, or other factors that have not materially been affected by ASC 606. Deferred Revenues The Company records deferred revenues when cash payments are received or are due in advance of our performance, including amounts which are refundable. Deferred revenue was $11,971 and $7,495 as of September 30, 2018 and December 31, 2017 , respectively. Fluctuations in the deferred revenue balance are primarily driven by the timing and extent of cash payments received or due in advance of satisfying the Company’s performance obligations. The Company’s payment terms vary by type and location of customer and the products offered. The period between invoicing and when payment is due is not significant (i.e. generally within two months). For certain products or services and customer types, the Company requires payment before the products or services are delivered to the customer. Significant Judgment and Practical Expedients For performance obligations related to sales of products, the Company has determined that customers are able to direct the use of, and obtain substantially all of the benefits from, the products at the point in time that the products are delivered. The Company has determined that the transfer of control upon delivery to the customer’s requested destination accurately depicts the transfer of goods. Upon the delivery of the products and transfer of control, the Company generally has the present right to payment and the customers bear the risks and rewards of ownership of the products. The Company has elected the practical expedient to not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts for which the Company recognizes revenue at the amount to which it has the right to invoice for services performed. |
INVENTORIES
INVENTORIES | 9 Months Ended |
Sep. 30, 2018 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | INVENTORIES Inventories consisted of the following: September 30, 2018 Titled Inventory Inventory Intermediation Agreements Total Crude oil and feedstocks $ 1,055,654 $ — $ 1,055,654 Refined products and blendstocks 1,060,841 339,134 1,399,975 Warehouse stock and other 105,477 — 105,477 $ 2,221,972 $ 339,134 $ 2,561,106 Lower of cost or market adjustment — — — Total inventories $ 2,221,972 $ 339,134 $ 2,561,106 December 31, 2017 Titled Inventory Inventory Intermediation Agreements Total Crude oil and feedstocks $ 1,073,093 $ — $ 1,073,093 Refined products and blendstocks 1,030,817 311,477 1,342,294 Warehouse stock and other 98,866 — 98,866 $ 2,202,776 $ 311,477 $ 2,514,253 Lower of cost or market adjustment (232,652 ) (67,804 ) (300,456 ) Total inventories $ 1,970,124 $ 243,673 $ 2,213,797 Inventory under inventory intermediation agreements includes certain light finished products sold to counterparties and stored in the Paulsboro and Delaware City refineries’ storage facilities in connection with the amended and restated inventory intermediation agreements (as amended, the “Inventory Intermediation Agreements”) with J. Aron & Company, a subsidiary of The Goldman Sachs Group, Inc. (“J. Aron”). At September 30, 2018 the replacement value of inventories exceeded the LIFO carrying value by approximately $12,037 . During the three months ended September 30, 2018 , the Company recorded an adjustment to value its inventories to the lower of cost or market which increased operating income and net income by $54,801 , reflecting no lower of cost or market (“LCM”) reserve as of September 30, 2018 in comparison to an LCM reserve of $54,801 at June 30, 2018. During the nine months ended September 30, 2018 , the Company recorded an LCM inventory adjustment which increased operating income and net income by $300,456 , reflecting no LCM reserve as of September 30, 2018 in comparison to an LCM reserve of $300,456 at December 31, 2017 . During the three months ended September 30, 2017 , the Company recorded an adjustment to value its inventories to the lower of cost or market which increased operating income and net income by $265,077 , reflecting the net change in the LCM reserve from $763,122 at June 30, 2017 to $498,045 at September 30, 2017 . During the nine months ended September 30, 2017 , the Company recorded an LCM inventory adjustment which increased both operating income and net income by $97,943 reflecting the net change in the LCM reserve from $595,988 at December 31, 2016 to $498,045 at September 30, 2017 . |
ACCRUED EXPENSES
ACCRUED EXPENSES | 9 Months Ended |
Sep. 30, 2018 | |
Payables and Accruals [Abstract] | |
ACCRUED EXPENSES | ACCRUED EXPENSES Accrued expenses consisted of the following: September 30, December 31, Inventory-related accruals $ 1,451,142 $ 1,151,810 Inventory intermediation agreements 254,022 244,287 Excise and sales tax payable 122,405 118,515 Accrued transportation costs 56,167 64,400 Accrued salaries and benefits 55,366 58,589 Renewable energy credit and emissions obligations 32,753 26,231 Accrued utilities 32,371 42,189 Accrued interest 28,934 9,466 Accrued capital expenditures 25,997 17,342 Accrued refinery maintenance and support costs 23,147 35,674 Customer deposits 20,583 16,133 Environmental liabilities 6,737 7,968 Other 20,144 8,255 Total accrued expenses $ 2,129,768 $ 1,800,859 The Company has the obligation to repurchase certain intermediates and finished products that are held in the Company’s refinery storage tanks at the Delaware City and Paulsboro refineries in accordance with the Inventory Intermediation Agreements with J. Aron. As of September 30, 2018 and December 31, 2017 , a liability is recognized for the Inventory Intermediation Agreements and is recorded at market price for the J. Aron owned inventory held in the Company’s storage tanks under the Inventory Intermediation Agreements, with any change in the market price being recorded in Cost of products and other. The Company is subject to obligations to purchase Renewable Identification Numbers (“RINs”) required to comply with the Renewable Fuels Standard. The Company’s overall RINs obligation is based on a percentage of domestic shipments of on-road fuels as established by Environmental Protection Agency (“EPA”). To the degree the Company is unable to blend the required amount of biofuels to satisfy its RINs obligation, RINs must be purchased on the open market to avoid penalties and fines. The Company records its RINs obligation on a net basis in Accrued expenses when its RINs liability is greater than the amount of RINs earned and purchased in a given period and in Prepaid and other current assets when the amount of RINs earned and purchased is greater than the RINs liability. In addition, the Company is subject to obligations to comply with federal and state legislative and regulatory measures, including regulations in the state of California pursuant to Assembly Bill 32 (“AB32”), to address environmental compliance and greenhouse gas and other emissions. These requirements include incremental costs to operate and maintain our facilities as well as to implement and manage new emission controls and programs. Renewable energy credit and emissions obligations fluctuate with the volume of applicable product sales and timing of credit purchases. Early Return of Railcars On September 30, 2018, the Company agreed to voluntarily return a portion of railcars under an operating lease in order to rationalize certain components of its railcar fleet based on prevailing market conditions in the crude oil by rail market. Under the terms of the lease amendment, the Company will pay agreed amounts in lieu of satisfaction of return conditions (the “early termination penalty”) and will pay a reduced rental fee over the remaining term of the lease. Certain of these railcars are idle and the remaining railcars will be taken out of service during the fourth quarter of 2018 and subsequently fully returned to the lessor. As a result, the Company recognized an expense of $44,571 for the three months ended September 30, 2018 included within Cost of sales consisting of (i) a $40,313 charge for the early termination penalty and (ii) a $4,258 charge related to the remaining lease payments associated with the portion of railcars within the amended lease, that were idled and out of service as of September 30, 2018. The Company has recorded a liability within Inventory-related accruals (included within Accrued expenses) for $25,843 representing the amount of the early lease termination obligation expected to be paid within the next twelve months and a liability within Other long-term liabilities for $18,728 representing the remaining amount of the obligation. |
DEBT (Notes)
DEBT (Notes) | 9 Months Ended |
Sep. 30, 2018 | |
Debt Instrument [Line Items] | |
Debt Disclosure [Text Block] | 5. DEBT 2018 Revolving Credit Agreement On May 2, 2018, PBF Holding and certain of its wholly-owned subsidiaries, as borrowers or subsidiary guarantors, replaced its existing asset-based revolving credit agreement dated as of August 15, 2014 (the “August 2014 Revolving Credit Agreement”) with a new asset-based revolving credit agreement (the “2018 Revolving Credit Agreement"). The 2018 Revolving Credit Agreement has a maximum commitment of $3,400,000 , a maturity date of May 2023 and redefines certain components of the Borrowing Base (as defined in the credit agreement) to make more funding available for working capital and other general corporate purposes. Borrowings under the 2018 Revolving Credit Agreement bear interest at the Alternative Base Rate plus the Applicable Margin or at the Adjusted LIBOR Rate plus the Applicable Margin (all as defined in the credit agreement). The Applicable Margin ranges from 0.25% to 1.00% for Alternative Base Rate Loans and from 1.25% to 2.00% for Adjusted LIBOR Rate Loans, in each case depending on the Company’s corporate credit rating. In addition, an accordion feature allows for commitments of up to $3,500,000 . The LC Participation Fee ranges from 1.00% to 1.75% depending on the Company’s corporate credit rating and the Fronting Fee is capped at 0.25% . The 2018 Revolving Credit Agreement contains customary covenants and restrictions on the activities of PBF Holding and its subsidiaries, including, but not limited to, limitations on incurring additional indebtedness, liens, negative pledges, guarantees, investments, loans, asset sales, mergers, acquisitions and prepayment of other debt, distributions, dividends and the repurchase of capital stock, transactions with affiliates and the ability of PBF Holding to change the nature of its business or its fiscal year; all as defined in the credit agreement. In addition, the 2018 Revolving Credit Agreement has a financial covenant which requires that if at any time Excess Availability, as defined in the credit agreement, is less than the greater of (i) 10% of the lesser of the then existing Borrowing Base and the then aggregate Revolving Commitments of the Lenders (the “Financial Covenant Testing Amount”), and (ii) $100,000, and until such time as Excess Availability is greater than the Financial Covenant Testing Amount and $100,000 for a period of 12 or more consecutive days, PBF Holding will not permit the Consolidated Fixed Charge Coverage Ratio, as defined in the credit agreement and determined as of the last day of the most recently completed quarter, to be less than 1.0 to 1.0. At both September 30, 2018 and December 31, 2017, there was $350,000 outstanding under the revolving credit agreements. |
INCOME TAXES
INCOME TAXES | 9 Months Ended |
Sep. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES PBF Holding is a limited liability company treated as a “flow-through” entity for income tax purposes. Accordingly, there is generally no benefit or expense for federal or state income tax in the PBF Holding financial statements apart from the income tax attributable to two subsidiaries acquired in connection with the acquisition of Chalmette Refining and the Company’s wholly-owned Canadian subsidiary, PBF Energy Limited (“PBF Ltd.”), which are treated as C-Corporations for income tax purposes. The reported income tax (benefit) expense in the PBF Holding condensed consolidated financial statements of operations consists of the following: Three Months Ended Nine Months Ended 2018 2017 2018 2017 Current income tax expense (benefit) $ 5 $ 190 $ (26 ) $ 1,399 Deferred income tax (benefit) expense (724 ) (4,482 ) (5,377 ) 641 Total income tax (benefit) expense $ (719 ) $ (4,292 ) $ (5,403 ) $ 2,040 |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 9 Months Ended |
Sep. 30, 2018 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | RELATED PARTY TRANSACTIONS Transactions and Agreements with PBFX The Company entered into agreements with PBFX that establish fees for certain general and administrative services, and operational and maintenance services provided by the Company to PBFX. In addition, the Company executed terminal, pipeline and storage services agreements with PBFX under which PBFX provides commercial transportation, terminaling, storage and pipeline services to the Company. These agreements with PBFX include the agreements set forth below: Contribution Agreements Immediately prior to the closing of certain contribution agreements, which PBF LLC entered into with PBFX (collectively referred to as the “Contribution Agreements”), the Company contributed certain assets to PBF LLC. PBF LLC in turn contributed those assets to PBFX pursuant to the Contribution Agreements. Certain proceeds received by PBF LLC from PBFX in accordance with the Contribution Agreements were subsequently contributed by PBF LLC to the Company. See the 2017 Form 10-K for a more complete description of the Company’s contribution agreements with PBFX that were entered into prior to 2018. On July 16, 2018, PBFX entered into four contribution agreements with PBF LLC pursuant to which the Company contributed to PBF LLC certain of its subsidiaries (the “Development Assets Contribution Agreements”). Pursuant to the Development Asset Contribution Agreements, the Company contributed all of the issued and outstanding limited liability company interests of: Toledo Rail Logistics Company LLC (“TRLC”), whose assets consist of a loading and unloading rail facility located at the Toledo refinery (the “Toledo Rail Products Facility”); Chalmette Logistics Company LLC (“CLC”), whose assets consist of a truck loading rack facility (the “Chalmette Truck Rack”) and a rail yard facility (the “Chalmette Rosin Yard”), both of which are located at the Chalmette refinery; Paulsboro Terminaling Company LLC (“PTC”), whose assets consist of a lube oil terminal facility located at the Paulsboro refinery (the “Paulsboro Lube Oil Terminal”); and DCR Storage and Loading Company LLC (“DSLC”), whose assets consist of an ethanol storage facility located at the Delaware City refinery (the “Delaware Ethanol Storage Facility” and collectively with the Toledo Rail Products Facility, the Chalmette Truck Rack, the Chalmette Rosin Yard, and the Paulsboro Lube Oil Terminal, the “Development Assets”) to PBF LLC. PBFX Operating Company LP (“PBFX Op Co”), PBFX’s wholly-owned subsidiary, in turn acquired the limited liability company interests in the Development Assets from PBF LLC in connection with the Development Assets Contribution Agreement effective July 31, 2018. In consideration for the Development Assets limited liability company interests, PBFX delivered to PBF LLC total consideration of $31,586 , consisting of 1,494,134 common units of PBFX. Commercial Agreements PBFX currently derives a substantial majority of its revenue from long-term, fee-based commercial agreements with the Company relating to assets associated with the Contribution Agreements described above, the majority of which include minimum volume commitments (“MVCs”) and are supported by contractual fee escalations for inflation adjustments and certain increases in operating costs. Under these agreements, PBFX provides various pipeline, rail and truck terminaling and storage services to the Company and the Company has committed, under certain of these agreements, to provide PBFX with minimum fees based on minimum monthly throughput volumes. The Company believes the terms and conditions under these agreements, as well as the Omnibus Agreement (as defined below) and the Services Agreement (as defined below) each with PBFX, are generally no less favorable to either party than those that could have been negotiated with unaffiliated parties with respect to similar services. See the 2017 Form 10-K for a more complete description of the Company’s commercial agreements with PBFX, including those identified as leases, that were entered into prior to 2018. The following are commercial agreements entered into between the Company and PBFX during 2018: Agreements Initiation Date Initial Term Renewals (a) MVC Force Majeure Amended and Restated Rail Agreements (b) 5/8/2014 7 years, 8 months 2 x 5 125,000 barrels per day (“bpd”) PBF Holding or PBFX can declare Knoxville Terminals Agreement- Terminaling Services 4/16/2018 5 years Evergreen Various (c) Knoxville Terminals Agreement- Tank Lease (d) 4/16/2018 5 years Evergreen 115,334 barrels (e) Toledo Rail Loading Agreement 7/31/2018 7 years, 5 months 2 x 5 Various (f) Chalmette Terminal Throughput Agreement 7/31/2018 1 year Evergreen N/A Chalmette Rail Unloading Agreement 7/31/2018 7 years, 5 months 2 x 5 7,600 bpd DSL Ethanol Throughput Agreement (d) 7/31/2018 7 years, 5 months 2 x 5 5,000 bpd ___________________ (a) The Company has the option to extend the agreements for up to two additional five -year terms, as applicable. (b) The Delaware City Rail Terminaling Services Agreement and the Delaware West Ladder Rack Terminaling Services Agreement each between Delaware City Terminaling Company LLC and the Company were amended effective as of January 1, 2018 with the service fees thereunder being adjusted, including the addition of an ancillary fee paid by the Company on an actual cost basis. In determining payments due under the Amended and Restated Rail Agreements, excess volumes throughput under the agreements shall apply against required payments in respect to the minimum throughput commitments on a quarterly basis and, to the extent not previously applied, on an annual basis against the MVCs. (c) The minimum throughput revenue commitment is $894 for year one, $1,788 for year two and $2,683 for year three and thereafter. (d) These commercial agreements with the Company are considered leases. (e) Reflects the overall capacity as stipulated by the storage agreement. The storage MVC is subject to the effective operating capacity of each tank, which can be impacted by routine tank maintenance and other factors. The Company is expected to take full shell capacity by the end of the fourth quarter of 2018. (f) Under the Toledo Rail Loading Agreement, the Company has minimum throughput commitments for (i) 30 railcars per day of products and (ii) 11.5 railcars per day of premium product. The Toledo Rail Loading Agreement also specifies a maximum throughput rate of 50 railcars per day. Other Agreements In addition to the commercial agreements described above, the Company has entered into an omnibus agreement with PBFX, PBF GP and PBF LLC, which has been amended and restated in connection with the closing of certain of the contribution agreements. This agreement addresses the payment of an annual fee for the provision of various general and administrative services and reimbursement of salary and benefit costs for certain PBF Energy employees. On July 31, 2018, the Company entered into the Fifth Amendment and Restated Omnibus Agreement (as amended, the “Omnibus Agreement”) in connection with the Development Assets Acquisition, resulting in an increase of the estimated annual fee to $7,000 . Additionally, the Company and certain of its subsidiaries have entered into an operation and management services and secondment agreement with PBFX, pursuant to which the Company and its subsidiaries provide PBFX with the personnel necessary for PBFX to perform its obligations under its commercial agreements. PBFX reimburses the Company for the use of such employees and the provision of certain infrastructure-related services to the extent applicable to its operations, including storm water discharge and waste water treatment, steam, potable water, access to certain roads and grounds, sanitary sewer access, electrical power, emergency response, filter press, fuel gas, API solids treatment, fire water and compressed air. On July 31, 2018, the Company entered into the Sixth Amended and Restated Operation and Management Services and Secondment Agreement (as amended, the “Services Agreement”) in connection with the Development Assets Acquisition, resulting in an increase of the annual fee to $8,587 . The Services Agreement will terminate upon the termination of the Omnibus Agreement, provided that PBFX may terminate any service on 30-days’ notice. Summary of Transactions with PBFX A summary of transactions with PBFX is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Reimbursements under affiliate agreements: Services Agreement $ 1,979 $ 1,639 $ 5,327 $ 4,918 Omnibus Agreement 1,927 1,890 5,364 5,174 Total expenses under affiliate agreements 66,140 62,359 190,789 176,916 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Sep. 30, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Environmental Matters The Company’s refineries, pipelines and related operations are subject to extensive and frequently changing federal, state and local laws and regulations, including, but not limited to, those relating to the discharge of materials into the environment or that otherwise relate to the protection of the environment, waste management and the characteristics and the compositions of fuels. Compliance with existing and anticipated laws and regulations can increase the overall cost of operating the refineries, including remediation, operating costs and capital costs to construct, maintain and upgrade equipment and facilities. In connection with the Paulsboro refinery acquisition, the Company assumed certain environmental remediation obligations. The Paulsboro environmental liability of $11,253 recorded as of September 30, 2018 ( $10,282 as of December 31, 2017 ) represents the present value of expected future costs discounted at a rate of 8.0% . The current portion of the environmental liability is recorded in Accrued expenses and the non-current portion is recorded in Other long-term liabilities. As of September 30, 2018 and December 31, 2017 , this liability is self-guaranteed by the Company. In connection with the acquisition of the Delaware City assets, Valero Energy Corporation (“Valero”) remains responsible for certain pre-acquisition environmental obligations up to $20,000 and the predecessor to Valero in ownership of the refinery retains other historical obligations. In connection with the acquisition of the Delaware City assets and the Paulsboro refinery, the Company and Valero purchased ten year, $75,000 environmental insurance policies to insure against unknown environmental liabilities at each site. In connection with the Toledo refinery acquisition, Sunoco, Inc. (R&M) remains responsible for environmental remediation for conditions that existed on the closing date for twenty years from March 1, 2011, subject to certain limitations. In connection with the acquisition of the Chalmette refinery, the Company obtained $3,936 in financial assurance (in the form of a surety bond) to cover estimated potential site remediation costs associated with an agreed to Administrative Order of Consent with EPA. The estimated cost assumes remedial activities will continue for a minimum of thirty years. Further, in connection with the acquisition of the Chalmette refinery, the Company purchased a ten year, $100,000 environmental insurance policy to insure against unknown environmental liabilities at the refinery. On December 28, 2016, DNREC issued a Coastal Zone Act permit (the “Ethanol Permit”) to DCR allowing the utilization of existing tanks and existing marine loading equipment at their existing facilities to enable denatured ethanol to be loaded from storage tanks to marine vessels and shipped to offsite facilities. On January 13, 2017, the issuance of the Ethanol Permit was appealed by two environmental groups. On February 27, 2017, the Coastal Zone Industrial Board (the “Coastal Zone Board”) held a public hearing and dismissed the appeal, determining that the appellants did not have standing. The appellants filed an appeal of the Coastal Zone Board’s decision with the Delaware Superior Court (the “Superior Court”) on March 30, 2017. On January 19, 2018, the Superior Court rendered an Opinion regarding the decision of the Coastal Zone Board to dismiss the appeal of the Ethanol Permit for the ethanol project. The Judge determined that the record created by the Coastal Zone Board was insufficient for the Superior Court to make a decision, and therefore remanded the case back to the Coastal Zone Board to address the deficiency in the record. Specifically, the Superior Court directed the Coastal Zone Board to address any evidence concerning whether the appellants’ claimed injuries would be affected by the increased quantity of ethanol shipments. During the hearing before the Coastal Zone Board on standing, one of the appellants’ witnesses made a reference to the flammability of ethanol, without any indication of the significance of flammability/ explosivity to specific concerns. Moreover, the appellants did not introduce at hearing any evidence of the relative flammability of ethanol as compared to other materials shipped to and from the refinery. However, the sole dissenting opinion from the Coastal Zone Board focused on the flammability/explosivity issue, alleging that the appellants’ testimony raised the issue as a distinct basis for potential harms. Once the Board responds to the remand, it will go back to the Superior Court to complete its analysis and issue a decision. At the time the Company acquired the Toledo refinery, EPA had initiated an investigation into the compliance of the refinery with EPA standards governing flaring pursuant to Section 114 of the Clean Air Act. On February 1, 2013, EPA issued an Amended Notice of Violation, and on September 20, 2013, EPA issued a Notice of Violation and Finding of Violation to Toledo refinery, alleging certain violations of the Clean Air Act at its Plant 4 and Plant 9 flares since the acquisition of the refinery on March 1, 2011. Toledo refinery and EPA subsequently entered into tolling agreements pending settlement discussions. Although the resolution has not been finalized, the civil administrative penalty is anticipated to be approximately $645 including supplemental environmental projects. To the extent the administrative penalty exceeds such amount, it is not expected to be material to the Company. In connection with the acquisition of the Torrance refinery and related logistics assets, the Company assumed certain pre-existing environmental liabilities totaling $133,025 as of September 30, 2018 ( $136,487 as of December 31, 2017 ), related to certain environmental remediation obligations to address existing soil and groundwater contamination and monitoring activities and other clean-up activities, which reflects the current estimated cost of the remediation obligations. The current portion of the environmental liability is recorded in Accrued expenses and the non-current portion is recorded in Other long-term liabilities. In addition, in connection with the acquisition of the Torrance refinery and related logistics assets, the Company purchased a ten year, $100,000 environmental insurance policy to insure against unknown environmental liabilities. Furthermore, in connection with the acquisition, the Company assumed responsibility for certain specified environmental matters that occurred prior to the Company’s ownership of the refinery and the logistics assets, including specified incidents and/or notices of violations (“NOVs”) issued by regulatory agencies in various years before the Company’s ownership, including the Southern California Air Quality Management District (“SCAQMD”) and the Division of Occupational Safety and Health of the State of California (“Cal/OSHA”). In connection with the acquisition of the Torrance refinery and related logistics assets, the Company agreed to take responsibility for NOV No. P63405 that ExxonMobil had received from the SCAQMD for Title V deviations that are alleged to have occurred in 2015. On August 14, 2018, the Company received a letter from SCAQMD offering to settle this NOV for $515 . The Company is currently in communication with SCAQMD to resolve this NOV. Subsequent to the acquisition, further NOVs were issued by the SCAQMD, Cal/OSHA, the City of Torrance, the City of Torrance Fire Department, and the Los Angeles County Sanitation District related to alleged operational violations, emission discharges and/or flaring incidents at the refinery and the logistics assets both before and after the Company’s acquisition. EPA in November 2016 conducted a Risk Management Plan (“RMP”) inspection following the acquisition related to Torrance operations and issued preliminary findings in March 2017 concerning RMP potential operational violations. The Company is currently in communication with EPA to resolve the RMP preliminary findings. EPA and the California Department of Toxic Substances Control (“DTSC”) in December 2016 conducted a Resource Conservation and Recovery Act (“RCRA”) inspection following the acquisition related to Torrance operations and also issued in March 2017 preliminary findings concerning RCRA potential operational violations. In April 2017, EPA referred the RCRA preliminary findings to DTSC for final resolution. On March 1, 2018, the Company received a notice of intent to sue from Environmental Integrity Project, on behalf of Environment California, under RCRA with respect to the alleged violations from EPA’s and DTSC’s December 2016 inspection. On March 2, 2018, DTSC issued an order to correct alleged RCRA violations relating to the accumulation of oil bearing materials in roll off bins during 2016 and 2017. On June 14, 2018, the Torrance refinery and DTSC reached settlement regarding the oil bearing materials in the form of a stipulation and order, wherein the Torrance refinery agreed that it would recycle or properly dispose of the oil bearing materials by the end of 2018 and pay an administrative penalty of $150 . Following this settlement, in June 2018, DTSC referred the remaining alleged RCRA violations from EPA’s and DTSC’s December 2016 inspection to the California Attorney General for final resolution. The Torrance refinery and the California Attorney General are in discussions to resolve these remaining alleged RCRA violations. Other than the $150 DTSC administrative penalty, no other settlement or penalty demands have been received to date with respect to any of the other NOVs, preliminary findings, or order that are in excess of $100 . As the ultimate outcomes are uncertain, the Company cannot currently estimate the final amount or timing of their resolution but any such amount is not expected to have a material impact on the Company’s financial position, results of operations or cash flows, individually or in the aggregate. Applicable Federal and State Regulatory Requirements The Company’s operations and many of the products it manufactures are subject to certain specific requirements of the Clean Air Act (the “CAA”) and related state and local regulations. The CAA contains provisions that require capital expenditures for the installation of certain air pollution control devices at the Company’s refineries. Subsequent rule making authorized by the CAA or similar laws or new agency interpretations of existing rules, may necessitate additional expenditures in future years. In 2010, New York State adopted a Low-Sulfur Heating Oil mandate that, beginning July 1, 2012, requires all heating oil sold in New York State to contain no more than 15 parts per million (“PPM”) sulfur. Since July 1, 2012, other states in the Northeast market began requiring heating oil sold in their state to contain no more than 15 PPM sulfur. Currently, all of the Northeastern states and Washington DC have adopted sulfur controls on heating oil. Most of the Northeastern states will now require heating oil with 15 PPM or less sulfur by July 1, 2018 (except for Pennsylvania and Maryland - where less than 500 PPM sulfur is required). All of the heating oil the Company currently produces meets these specifications. The mandate and other requirements do not currently have a material impact on the Company’s financial position, results of operations or cash flows. EPA issued the final Tier 3 Gasoline standards on March 3, 2014 under the CAA. This final rule establishes more stringent vehicle emission standards and further reduces the sulfur content of gasoline starting in January 2017. The new standard is set at 10 PPM sulfur in gasoline on an annual average basis starting January 1, 2017, with a credit trading program to provide compliance flexibility. EPA responded to industry comments on the proposed rule and maintained the per gallon sulfur cap on gasoline at the existing 80 PPM cap. The refineries are complying with these new requirements as planned, either directly or using flexibility provided by sulfur credits generated or purchased in advance as an economic optimization. The standards set by the new rule are not expected to have a material impact on the Company’s financial position, results of operations or cash flows. The Company is required to comply with the Renewable Fuel Standard (“RFS”) implemented by EPA, which sets annual quotas for the quantity of renewable fuels (such as ethanol) that must be blended into motor fuels consumed in the United States. In July 2018, EPA issued proposed amendments to the RFS program regulations that would establish annual percentage standards for cellulosic biofuel, biomass-based diesel, advanced biofuel, and renewable fuels that would apply to all gasoline and diesel produced in the U.S. or imported in the year 2019. In addition, the separate proposal includes a proposed biomass-based diesel applicable volume for 2020. It is likely that RIN production will continue to be lower than needed forcing obligated parties, such as the Company, to purchase cellulosic waiver credits or purchase excess RINs from suppliers on the open market. In addition, on December 1, 2015 EPA finalized revisions to an existing air regulation concerning Maximum Achievable Control Technologies (“MACT”) for Petroleum Refineries. The regulation requires additional continuous monitoring systems for eligible process safety valves relieving to atmosphere, minimum flare gas heat (Btu) content, and delayed coke drum vent controls to be installed by January 30, 2019. In addition, a program for ambient fence line monitoring for benzene was implemented prior to the deadline of January 30, 2018. The Company is in the process of implementing the requirements of this regulation. The regulation does not have a material impact on the Company’s financial position, results of operations or cash flows. EPA published a Final Rule to the Clean Water Act (“CWA”) Section 316(b) in August 2014 regarding cooling water intake structures, which includes requirements for petroleum refineries. The purpose of this rule is to prevent fish from being trapped against cooling water intake screens (impingement) and to prevent fish from being drawn through cooling water systems (entrainment). Facilities will be required to implement Best Technology Available (“BTA”) as soon as possible, but state agencies have the discretion to establish implementation time lines. The Company continues to evaluate the impact of this regulation, and at this time does not anticipate it having a material impact on the Company’s financial position, results of operations or cash flows. As a result of the Torrance Acquisition, the Company is subject to greenhouse gas emission control regulations in the state of California pursuant to AB32. AB32 imposes a statewide cap on greenhouse gas emissions, including emissions from transportation fuels, with the aim of returning the state to 1990 emission levels by 2020. AB32 is implemented through two market mechanisms including the Low Carbon Fuel Standard (“LCFS”) and Cap and Trade, which was extended for an additional ten years to 2030 in July 2017. The Company is responsible for the AB32 obligations related to the Torrance refinery beginning on July 1, 2016 and must purchase emission credits to comply with these obligations. Additionally, in September 2016, the state of California enacted Senate Bill 32 (“SB32”) which further reduces greenhouse gas emissions targets to 40 percent below 1990 levels by 2030. However, subsequent to the acquisition, the Company is recovering the majority of these costs from its customers, and as such does not expect this obligation to materially impact the Company’s financial position, results of operations, or cash flows. To the degree there are unfavorable changes to AB32 or SB32 regulations or the Company is unable to recover such compliance costs from customers, these regulations could have a material adverse effect on our financial position, results of operations and cash flows. The Company is subject to obligations to purchase RINs. On February 15, 2017, the Company received a notification that EPA records indicated that PBF Holding used potentially invalid RINs that were in fact verified under EPA’s RIN Quality Assurance Program (“QAP”) by an independent auditor as QAP A RINs. Under the regulations, use of potentially invalid QAP A RINs provided the user with an affirmative defense from civil penalties provided certain conditions are met. The Company has asserted the affirmative defense and if accepted by EPA will not be required to replace these RINs and will not be subject to civil penalties under the program. It is reasonably possible that EPA will not accept the Company’s defense and may assess penalties in these matters but any such amount is not expected to have a material impact on the Company’s financial position, results of operations or cash flows. As of January 1, 2011, the Company is required to comply with EPA’s Control of Hazardous Air Pollutants From Mobile Sources, or MSAT2, regulations on gasoline that impose reductions in the benzene content of its produced gasoline. The Company purchases benzene credits to meet these requirements. The Company’s planned capital projects will reduce the amount of benzene credits that it needs to purchase. In addition, the renewable fuel standards mandate the blending of prescribed percentages of renewable fuels (e.g., ethanol and biofuels) into the Company’s produced gasoline and diesel. These new requirements, other requirements of the CAA and other presently existing or future environmental regulations may cause the Company to make substantial capital expenditures as well as the purchase of credits at significant cost, to enable its refineries to produce products that meet applicable requirements. The federal Comprehensive Environmental Response, Compensation and Liability Act of 1980 (“CERCLA”), also known as “Superfund,” imposes liability, without regard to fault or the legality of the original conduct, on certain classes of persons who are considered to be responsible for the release of a “hazardous substance” into the environment. These persons include the current or former owner or operator of the disposal site or sites where the release occurred and companies that disposed of or arranged for the disposal of the hazardous substances. Under CERCLA, such persons may be subject to joint and several liability for investigation and the costs of cleaning up the hazardous substances that have been released into the environment, for damages to natural resources and for the costs of certain health studies. As discussed more fully above, certain of the Company’s sites are subject to these laws and the Company may be held liable for investigation and remediation costs or claims for natural resource damages. It is not uncommon for neighboring landowners and other third parties to file claims for personal injury and property damage allegedly caused by hazardous substances or other pollutants released into the environment. Analogous state laws impose similar responsibilities and liabilities on responsible parties. In the Company’s current normal operations, it has generated waste, some of which falls within the statutory definition of a “hazardous substance” and some of which may have been disposed of at sites that may require cleanup under Superfund. The Company is also currently subject to certain other existing environmental claims and proceedings. The Company believes that there is only a remote possibility that future costs related to any of these other known contingent liability exposures would have a material impact on its financial position, results of operations or cash flows. PBF LLC Limited Liability Company Agreement The holders of limited liability company interests in PBF LLC, including PBF Energy, generally have to include for purposes of calculating their U.S. federal, state and local income taxes their share of any taxable income of PBF LLC, regardless of whether such holders receive cash distributions from PBF LLC. PBF Energy ultimately may not receive cash distributions from PBF LLC equal to its share of such taxable income or even equal to the actual tax due with respect to that income. For example, PBF LLC is required to include in taxable income PBF LLC’s allocable share of PBFX’s taxable income and gains (such share to be determined pursuant to the partnership agreement of PBFX), regardless of the amount of cash distributions received by PBF LLC from PBFX, and such taxable income and gains will flow-through to PBF Energy to the extent of its allocable share of the taxable income of PBF LLC. As a result, at certain times, the amount of cash otherwise ultimately available to PBF Energy on account of its indirect interest in PBFX may not be sufficient for PBF Energy to pay the amount of taxes it will owe on account of its indirect interests in PBFX. Taxable income of PBF LLC generally is allocated to the holders of PBF LLC units (including PBF Energy) pro-rata in accordance with their respective share of the net profits and net losses of PBF LLC. In general, PBF LLC is required to make periodic tax distributions to the members of PBF LLC, including PBF Energy, pro-rata in accordance with their respective percentage interests for such period (as determined under the amended and restated limited liability company agreement of PBF LLC), subject to available cash and applicable law and contractual restrictions (including pursuant to our debt instruments) and based on certain assumptions. Generally, these tax distributions are required to be in an amount equal to our estimate of the taxable income of PBF LLC for the year multiplied by an assumed tax rate equal to the highest effective marginal combined U.S. federal, state and local income tax rate prescribed for an individual or corporate resident in New York, New York (taking into account the nondeductibility of certain expenses). If, with respect to any given calendar year, the aggregate periodic tax distributions were less than the actual taxable income of PBF LLC multiplied by the assumed tax rate, PBF LLC is required to make a “true up” tax distribution, no later than March 15 of the following year, equal to such difference, subject to the available cash and borrowings of PBF LLC. PBF LLC generally obtains funding to pay its tax distributions by causing PBF Holding to distribute cash to PBF LLC and from distributions it receives from PBFX. Tax Receivable Agreement PBF Energy (the Company’s indirect parent) entered into a Tax Receivable Agreement with the PBF LLC Series A and PBF LLC Series B Unit holders (the “Tax Receivable Agreement”) that provides for the payment by PBF Energy to such persons of an amount equal to 85% of the amount of the benefits, if any, that PBF Energy is deemed to realize as a result of (i) increases in tax basis, as described below, and (ii) certain other tax benefits related to entering into the Tax Receivable Agreement, including tax benefits attributable to payments under the Tax Receivable Agreement. For purposes of the Tax Receivable Agreement, the benefits deemed realized by PBF Energy will be computed by comparing the actual income tax liability of PBF Energy (calculated with certain assumptions) to the amount of such taxes that PBF Energy would have been required to pay had there been no increase to the tax basis of the assets of PBF LLC as a result of purchases or exchanges of PBF LLC Series A Units for shares of PBF Energy’s Class A common stock and had PBF Energy not entered into the Tax Receivable Agreement. The term of the Tax Receivable Agreement will continue until all such tax benefits have been utilized or expired unless: (i) PBF Energy exercises its right to terminate the Tax Receivable Agreement, (ii) PBF Energy breaches any of its material obligations under the Tax Receivable Agreement or (iii) certain changes of control occur, in which case all obligations under the Tax Receivable Agreement will generally be accelerated and due as calculated under certain assumptions. The payment obligations under the Tax Receivable Agreement are obligations of PBF Energy and not of PBF LLC or PBF Holding. In general, PBF Energy expects to obtain funding for these annual payments from PBF LLC, primarily through tax distributions, which PBF LLC makes on a pro-rata basis to its owners. Such owners include PBF Energy, which holds a 99.0% interest in PBF LLC as of September 30, 2018 ( 96.7% as of December 31, 2017 ). PBF LLC generally obtains funding to pay its tax distributions by causing PBF Holding to distribute cash to PBF LLC and from distributions it receives from PBFX. As a result of the reduction of the corporate federal tax rate to 21% as part of the Tax Cuts and Jobs Act, PBF Energy’s liability associated with the Tax Receivable Agreement was reduced. |
EMPLOYEE BENEFIT PLANS
EMPLOYEE BENEFIT PLANS | 9 Months Ended |
Sep. 30, 2018 | |
Defined Benefit Plan [Abstract] | |
EMPLOYEE BENEFIT PLANS | EMPLOYEE BENEFIT PLANS The components of net periodic benefit cost related to the Company’s defined benefit plans consisted of the following: Three Months Ended Nine Months Ended Pension Benefits 2018 2017 2018 2017 Components of net periodic benefit cost: Service cost $ 11,836 $ 10,142 $ 35,508 $ 30,429 Interest cost 1,448 1,084 4,344 3,252 Expected return on plan assets (2,135 ) (1,441 ) (6,405 ) (4,325 ) Amortization of prior service cost 22 13 65 39 Amortization of actuarial loss 71 113 214 339 Net periodic benefit cost $ 11,242 $ 9,911 $ 33,726 $ 29,734 Three Months Ended Nine Months Ended Post-Retirement Medical Plan 2018 2017 2018 2017 Components of net periodic benefit cost: Service cost $ 287 $ 316 $ 861 $ 948 Interest cost 155 172 465 516 Amortization of prior service cost 161 162 484 484 Net periodic benefit cost $ 603 $ 650 $ 1,810 $ 1,948 The Company adopted ASU 2017-07 as described in “Note 1 - Description of the Business and Basis of Presentation” effective January 1, 2018. The new guidance requires the bifurcation of net periodic benefit cost. The service cost component is presented within Income from operations, while the other components are reported separately outside of operations. This guidance was applied retrospectively in the Condensed Consolidated Statements of Operations. For the three and nine months ended September 30, 2018 , the Company recorded income of $278 and $833 , respectively, related to the non-service components of net periodic benefit cost in Other income (expense). For the three and nine months ended September 30, 2017 , the Company recorded expense of $103 and $305 , respectively, related to the non-service components of net periodic benefit cost in Other income (expense). |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS The tables below present information about the Company’s financial assets and liabilities measured and recorded at fair value on a recurring basis and indicate the fair value hierarchy of the inputs utilized to determine the fair values as of September 30, 2018 and December 31, 2017 . We have elected to offset the fair value amounts recognized for multiple derivative contracts executed with the same counterparty; however, fair value amounts by hierarchy level are presented on a gross basis in the tables below. We have posted cash margin with various counterparties to support hedging and trading activities. The cash margin posted is required by counterparties as collateral deposits and cannot be offset against the fair value of open contracts except in the event of default. We have no derivative contracts that are subject to master netting arrangements that are reflected gross on the balance sheet. As of September 30 2018 Fair Value Hierarchy Total Gross Fair Value Effect of Counter-party Netting Net Carrying Value on Balance Sheet Level 1 Level 2 Level 3 Assets: Money market funds $ 371,209 $ — $ — $ 371,209 N/A $ 371,209 Commodity contracts 17,023 1,702 — 18,725 (18,725 ) — Liabilities: Commodity contracts 24,202 21,895 — 46,097 (18,725 ) 27,372 Catalyst lease obligations — 43,800 — 43,800 — 43,800 Derivatives included with inventory intermediation agreement obligations — 18,422 — 18,422 — 18,422 As of December 31, 2017 Fair Value Hierarchy Total Gross Fair Value Effect of Counter-party Netting Net Carrying Value on Balance Sheet Level 1 Level 2 Level 3 Assets: Money market funds $ 4,730 $ — $ — $ 4,730 N/A $ 4,730 Commodity contracts 10,031 357 — 10,388 (10,388 ) — Liabilities: Commodity contracts 51,673 33,035 — 84,708 (10,388 ) 74,320 Catalyst lease obligations — 59,048 — 59,048 — 59,048 Derivatives included with inventory intermediation agreement obligations — 7,721 — 7,721 — 7,721 The valuation methods used to measure financial instruments at fair value are as follows: • Money market funds categorized in Level 1 of the fair value hierarchy are measured at fair value based on quoted market prices and included within Cash and cash equivalents. • The commodity contracts categorized in Level 1 of the fair value hierarchy are measured at fair value based on quoted prices in an active market. The commodity contracts categorized in Level 2 of the fair value hierarchy are measured at fair value using a market approach based upon future commodity prices for similar instruments quoted in active markets. • The commodity contracts categorized in Level 3 of the fair value hierarchy consist of commodity price swap contracts that relate to forecasted purchases of crude oil for which quoted forward market prices are not readily available due to market illiquidity. The forward prices used to value these swaps were derived using broker quotes, prices from other third party sources and other available market based data. • The derivatives included with inventory intermediation agreement obligations and the catalyst lease obligations are categorized in Level 2 of the fair value hierarchy and are measured at fair value using a market approach based upon commodity prices for similar instruments quoted in active markets. Non-qualified pension plan assets are measured at fair value using a market approach based on published net asset values of mutual funds as a practical expedient. As of September 30, 2018 and December 31, 2017 , $9,427 and $9,593 , respectively, were included within Deferred charges and other assets, net for these non-qualified pension plan assets. The table below summarizes the changes in fair value measurements of commodity contracts categorized in Level 3 of the fair value hierarchy: Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Balance at beginning of period $ — $ — $ — $ (84 ) Purchases — — — — Settlements — — — 45 Unrealized gain included in earnings — — — 39 Transfers into Level 3 — — — — Transfers out of Level 3 — — — — Balance at end of period $ — $ — $ — $ — There were no transfers between levels during the three and nine months ended September 30, 2018 or 2017 . Fair value of debt The table below summarizes the fair value and carrying value of debt as of September 30, 2018 and December 31, 2017 . September 30, 2018 December 31, 2017 Carrying value Fair value Carrying value Fair value 2025 Senior Notes (a) $ 725,000 $ 767,282 $ 725,000 $ 763,945 2023 Senior Notes (a) 500,000 522,798 500,000 522,101 Revolving Credit Agreement (b) 350,000 350,000 350,000 350,000 PBF Rail Term Loan (b) 23,273 23,273 28,366 28,366 Catalyst leases (c) 43,800 43,800 59,048 59,048 1,642,073 1,707,153 1,662,414 1,723,460 Less - Current debt (c) (1,242 ) (1,242 ) (10,987 ) (10,987 ) Less - Unamortized deferred financing costs (32,094 ) n/a (25,178 ) n/a Long-term debt $ 1,608,737 $ 1,705,911 $ 1,626,249 $ 1,712,473 (a) The estimated fair value, categorized as a Level 2 measurement, was calculated based on the present value of future expected payments utilizing implied current market interest rates based on quoted prices of the 7.00% senior notes due 2023 and the 7.25% senior notes due 2025 (collectively, the “Senior Notes”). (b) The estimated fair value approximates carrying value, categorized as a Level 2 measurement, as these borrowings bear interest based upon short-term floating market interest rates. (c) Catalyst leases are valued using a market approach based upon commodity prices for similar instruments quoted in active markets and are categorized as a Level 2 measurement. The Company has elected the fair value option for accounting for its catalyst lease repurchase obligations as the Company’s liability is directly impacted by the change in fair value of the underlying catalyst. During 2017, Delaware City Refining entered into two platinum bridge leases which were settled during the second quarter of 2018 and the Company entered into a new platinum bridge lease, which will expire in the first quarter of 2019. The total outstanding balance related to these bridge leases as of September 30, 2018 and December 31, 2017 was $1,242 and $10,987 , respectively, and is included in Current debt on the Company’s Condensed Consolidated balance sheet. |
DERIVATIVES
DERIVATIVES | 9 Months Ended |
Sep. 30, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVES | DERIVATIVES The Company uses derivative instruments to mitigate certain exposures to commodity price risk. The Company entered into Inventory Intermediation Agreements that contain purchase obligations for certain volumes of intermediates and refined products. The purchase obligations related to intermediates and refined products under these agreements are derivative instruments that have been designated as fair value hedges in order to hedge the commodity price volatility of certain refinery inventory. The fair value of these purchase obligation derivatives is based on market prices of the underlying intermediates and refined products. The level of activity for these derivatives is based on the level of operating inventories. As of September 30, 2018 , there were 2,966,904 barrels of intermediates and refined products ( 3,000,142 barrels at December 31, 2017 ) outstanding under these derivative instruments designated as fair value hedges. These volumes represent the notional value of the contract. The Company also enters into economic hedges primarily consisting of commodity derivative contracts that are not designated as hedges and are used to manage price volatility in certain crude oil and feedstock inventories as well as crude oil, feedstock, and refined product sales or purchases. The objective in entering into economic hedges is consistent with the objectives discussed above for fair value hedges. As of September 30, 2018 , there were 11,126,000 barrels of crude oil and 3,097,000 barrels of refined products ( 22,348,000 and 1,989,000 , respectively, as of December 31, 2017 ), outstanding under short and long term commodity derivative contracts not designated as hedges representing the notional value of the contracts. The following tables provide information about the fair values of these derivative instruments as of September 30, 2018 and December 31, 2017 and the line items in the condensed consolidated balance sheet in which the fair values are reflected. Description Balance Sheet Location Fair Value Asset/(Liability) Derivatives designated as hedging instruments: September 30, 2018: Derivatives included with the inventory intermediation agreement obligations Accrued expenses $ (18,422 ) December 31, 2017: Derivatives included with the inventory intermediation agreement obligations Accrued expenses $ (7,721 ) Derivatives not designated as hedging instruments: September 30, 2018: Commodity contracts Accrued expenses $ (27,372 ) December 31, 2017: Commodity contracts Accrued expenses $ (74,320 ) The following table provides information about the gains or losses recognized in income on these derivative instruments and the line items in the condensed consolidated statements of operations in which such gains and losses are reflected. Description Location of Gain or (Loss) Recognized in Income on Derivatives Gain or (Loss) Recognized in Income on Derivatives Derivatives designated as hedging instruments: For the three months ended September 30, 2018: Derivatives included with the inventory intermediation agreement obligations Cost of products and other $ (8,163 ) For the three months ended September 30, 2017: Derivatives included with the inventory intermediation agreement obligations Cost of products and other $ (29,766 ) For the nine months ended September 30, 2018: Derivatives included with the inventory intermediation agreement obligations Cost of products and other $ (10,701 ) For the nine months ended September 30, 2017: Derivatives included with the inventory intermediation agreement obligations Cost of products and other $ (26,659 ) Derivatives not designated as hedging instruments: For the three months ended September 30, 2018: Commodity contracts Cost of products and other $ (9,517 ) For the three months ended September 30, 2017: Commodity contracts Cost of products and other $ (17,291 ) For the nine months ended September 30, 2018: Commodity contracts Cost of products and other $ (55,877 ) For the nine months ended September 30, 2017: Commodity contracts Cost of products and other $ (2,606 ) Hedged items designated in fair value hedges: For the three months ended September 30, 2018: Intermediate and refined product inventory Cost of products and other $ 8,163 For the three months ended September 30, 2017: Intermediate and refined product inventory Cost of products and other $ 29,766 For the nine months ended September 30, 2018: Intermediate and refined product inventory Cost of products and other $ 10,701 For the nine months ended September 30, 2017: Intermediate and refined product inventory Cost of products and other $ 26,659 The Company had no ineffectiveness related to the fair value hedges for the three and nine months ended September 30, 2018 or 2017 . |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Sep. 30, 2018 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS Dividend Declared On October 31, 2018 , PBF Energy, PBF Holding’s indirect parent, announced a dividend of $0.30 per share on its outstanding Class A common stock. The dividend is payable on November 30, 2018 to PBF Energy Class A common stockholders of record at the close of business on November 15, 2018 . |
CONDENSED CONSOLIDATING FINANCI
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDINGS | 9 Months Ended |
Sep. 30, 2018 | |
Condensed Financial Information of Subsidiary Disclosure [Abstract] | |
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDINGS | CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING PBF Services Company, Delaware City Refining Company LLC, PBF Power Marketing LLC, Paulsboro Refining Company LLC, Toledo Refining Company LLC, Chalmette Refining, L.L.C., PBF Energy Western Region LLC, Torrance Refining Company LLC, Torrance Logistics Company LLC, PBF International Inc. and PBF Investments LLC are 100% owned subsidiaries of PBF Holding and serve as guarantors of the obligations under the Senior Notes. These guarantees are full and unconditional and joint and several. For purposes of the following footnote, PBF Holding is referred to as “Issuer”. The indentures dated November 24, 2015 and May 30, 2017, among PBF Holding, PBF Finance, the guarantors party thereto and Wilmington Trust, National Association, governs subsidiaries designated as “Guarantor Subsidiaries”. PBF Energy Limited, PBF Transportation Company LLC, PBF Rail Logistics Company LLC, MOEM Pipeline LLC, Collins Pipeline Company, T&M Terminal Company, TVP Holding Company LLC (“TVP Holding”), Torrance Basin Pipeline Company LLC and Torrance Pipeline Company LLC are consolidated subsidiaries of the Company that are not guarantors of the Senior Notes. Additionally, our 50% equity investment in Torrance Valley Pipeline Company, held by TVP Holding is included in our Non-Guarantor financial position and results of operations and cash flows as TVP Holding is not a guarantor of the Senior Notes. The Senior Notes were co-issued by PBF Finance. For purposes of the following footnote, PBF Finance is referred to as “Co-Issuer.” The Co-Issuer has no independent assets or operations. The following supplemental combining and condensed consolidating financial information reflects the Issuer’s separate accounts, the combined accounts of the Guarantor Subsidiaries and the Non-Guarantor Subsidiaries, the combining and consolidating adjustments and eliminations and the Issuer’s consolidated accounts for the dates and periods indicated. For purposes of the following combining and consolidating information, the Issuer’s investment in its subsidiaries and the Guarantor subsidiaries’ investments in their subsidiaries are accounted for under the equity method of accounting. CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING BALANCE SHEETS (UNAUDITED) September 30, 2018 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total ASSETS Current assets: Cash and cash equivalents $ 971,349 $ 16,021 $ 26,024 $ — $ 1,013,394 Accounts receivable 1,024,062 11,575 29,164 — 1,064,801 Accounts receivable - affiliate 1,413 15,521 725 — 17,659 Inventories 2,366,474 — 194,632 — 2,561,106 Prepaid and other current assets 25,356 31,782 1,049 — 58,187 Due from related parties 32,674,797 24,698,233 9,068,281 (66,441,311 ) — Total current assets 37,063,451 24,773,132 9,319,875 (66,441,311 ) 4,715,147 Property, plant and equipment, net 18,641 2,609,644 232,105 — 2,860,390 Investment in subsidiaries — 387,740 — (387,740 ) — Investment in equity method investee — — 168,763 — 168,763 Deferred charges and other assets, net 18,595 833,213 34 — 851,842 Total assets $ 37,100,687 $ 28,603,729 $ 9,720,777 $ (66,829,051 ) $ 8,596,142 LIABILITIES AND EQUITY Current liabilities: Accounts payable $ 344,287 $ 117,388 $ 19,525 $ — $ 481,200 Accounts payable - affiliate 32,555 861 38 — 33,454 Accrued expenses 1,732,674 120,001 277,093 — 2,129,768 Current debt — 1,242 — — 1,242 Deferred revenue 10,422 1,540 9 — 11,971 Due to related parties 27,745,723 29,697,466 8,998,122 (66,441,311 ) — Total current liabilities 29,865,661 29,938,498 9,294,787 (66,441,311 ) 2,657,635 Long-term debt 1,543,186 42,558 22,993 — 1,608,737 Deferred tax liabilities — — 27,778 — 27,778 Other long-term liabilities 47,355 188,998 4,145 — 240,498 Investment in subsidiaries 1,582,991 — — (1,582,991 ) — Total liabilities 33,039,193 30,170,054 9,349,703 (68,024,302 ) 4,534,648 Commitments and contingencies (Note 8) Equity: PBF Holding Company LLC equity Member’s equity 2,648,182 1,725,362 327,691 (2,053,053 ) 2,648,182 Retained earnings / (accumulated deficit) 1,428,938 (3,292,878 ) 43,383 3,249,495 1,428,938 Accumulated other comprehensive loss (26,477 ) (9,660 ) — 9,660 (26,477 ) Total PBF Holding Company LLC equity 4,050,643 (1,577,176 ) 371,074 1,206,102 4,050,643 Noncontrolling interest 10,851 10,851 — (10,851 ) 10,851 Total equity 4,061,494 (1,566,325 ) 371,074 1,195,251 4,061,494 Total liabilities and equity $ 37,100,687 $ 28,603,729 $ 9,720,777 $ (66,829,051 ) $ 8,596,142 13. CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING BALANCE SHEETS (UNAUDITED) December 31, 2017 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total ASSETS Current assets: Cash and cash equivalents $ 486,568 $ 13,456 $ 26,136 $ — $ 526,160 Accounts receivable 903,298 7,605 40,226 — 951,129 Accounts receivable - affiliate 2,321 5,300 731 — 8,352 Inventories 1,982,315 — 231,482 — 2,213,797 Prepaid and other current assets 20,523 27,100 1,900 — 49,523 Due from related parties 28,632,914 23,302,660 6,820,693 (58,756,267 ) — Total current assets 32,027,939 23,356,121 7,121,168 (58,756,267 ) 3,748,961 Property, plant and equipment, net 21,785 2,547,229 236,376 — 2,805,390 Investment in subsidiaries — 413,136 — (413,136 ) — Investment in equity method investee — — 171,903 — 171,903 Deferred charges and other assets, net 30,141 749,749 34 — 779,924 Total assets $ 32,079,865 $ 27,066,235 $ 7,529,481 $ (59,169,403 ) $ 7,506,178 LIABILITIES AND EQUITY Current liabilities: Accounts payable $ 413,829 $ 137,149 $ 21,954 $ — $ 572,932 Accounts payable - affiliate 39,952 865 — — 40,817 Accrued expenses 1,409,212 122,722 268,925 — 1,800,859 Current debt — 10,987 — — 10,987 Deferred revenue 6,005 1,472 18 — 7,495 Note payable — 5,621 — — 5,621 Due to related parties 24,813,299 27,166,679 6,776,289 (58,756,267 ) — Total current liabilities 26,682,297 27,445,495 7,067,186 (58,756,267 ) 2,438,711 Long-term debt 1,550,206 48,024 28,019 — 1,626,249 Deferred tax liabilities — — 33,155 — 33,155 Other long-term liabilities 30,612 189,204 4,145 — 223,961 Investment in subsidiaries 632,648 — — (632,648 ) — Total liabilities 28,895,763 27,682,723 7,132,505 (59,388,915 ) 4,322,076 Commitments and contingencies (Note 8) Equity: PBF Holding Company LLC equity Member’s equity 2,359,791 1,731,268 343,940 (2,075,208 ) 2,359,791 Retained earnings / (accumulated deficit) 840,431 (2,348,904 ) 53,036 2,295,868 840,431 Accumulated other comprehensive loss (26,928 ) (9,660 ) — 9,660 (26,928 ) Total PBF Holding Company LLC equity 3,173,294 (627,296 ) 396,976 230,320 3,173,294 Noncontrolling interest 10,808 10,808 — (10,808 ) 10,808 Total equity 3,184,102 (616,488 ) 396,976 219,512 3,184,102 Total liabilities and equity $ 32,079,865 $ 27,066,235 $ 7,529,481 $ (59,169,403 ) $ 7,506,178 D CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED) Three Months Ended September 30, 2018 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total Revenues $ 7,565,959 $ 460,805 $ 852,441 $ (1,236,734 ) $ 7,642,471 Cost and expenses: Cost of products and other 6,986,334 279,448 847,650 (1,236,734 ) 6,876,698 Operating expenses (excluding depreciation and amortization expense as reflected below) 163 400,953 8,484 — 409,600 Depreciation and amortization expense — 81,431 1,922 — 83,353 Cost of sales 6,986,497 761,832 858,056 (1,236,734 ) 7,369,651 General and administrative expenses (excluding depreciation and amortization expense as reflected below) 59,304 6,050 (485 ) — 64,869 Depreciation and amortization expense 2,594 — — — 2,594 Equity income in investee — — (4,725 ) — (4,725 ) Gain on sale of assets — (43,745 ) — — (43,745 ) Total cost and expenses 7,048,395 724,137 852,846 (1,236,734 ) 7,388,644 Income (loss) from operations 517,564 (263,332 ) (405 ) — 253,827 Other income (expense): Equity in (loss) earnings of subsidiaries (261,695 ) 40 — 261,655 — Change in fair value of catalyst leases — 1,630 — — 1,630 Interest expense, net (31,074 ) (408 ) (274 ) — (31,756 ) Other non-service components of net periodic benefit cost (97 ) 375 — — 278 Income (loss) before income taxes 224,698 (261,695 ) (679 ) 261,655 223,979 Income tax benefit — — (719 ) — (719 ) Net income (loss) 224,698 (261,695 ) 40 261,655 224,698 Less: net income attributable to noncontrolling interests 35 35 — (35 ) 35 Net income (loss) attributable to PBF Holding Company LLC $ 224,663 $ (261,730 ) $ 40 $ 261,690 $ 224,663 Comprehensive income (loss) attributable to PBF Holding Company LLC $ 224,840 $ (261,730 ) $ 40 $ 261,690 $ 224,840 13. CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED) Three Months Ended September 30, 2017 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total Revenues $ 5,410,245 $ 223,582 $ 536,386 $ (694,397 ) $ 5,475,816 Cost and expenses: Cost of products and other 4,483,164 85,031 538,011 (694,397 ) 4,411,809 Operating expenses (excluding depreciation and amortization expense as reflected below) 289 380,864 8,351 — 389,504 Depreciation and amortization expense — 68,419 1,919 — 70,338 Cost of sales 4,483,453 534,314 548,281 (694,397 ) 4,871,651 General and administrative expenses (excluding depreciation and amortization expense as reflected below) 49,864 4,959 (146 ) — 54,677 Depreciation and amortization expense 2,572 — — — 2,572 Equity income in investee — — (3,799 ) — (3,799 ) Loss on sale of assets — 28 — — 28 Total cost and expenses 4,535,889 539,301 544,336 (694,397 ) 4,925,129 Income (loss) from operations 874,356 (315,719 ) (7,950 ) — 550,687 Other income (expense): Equity in (loss) earnings of subsidiaries (319,568 ) 2,467 — 317,101 — Change in fair value of catalyst leases — 473 — — 473 Interest expense, net (28,692 ) (305 ) (272 ) — (29,269 ) Other non-service components of net periodic benefit cost (16 ) (87 ) — — (103 ) Income (loss) before income taxes 526,080 (313,171 ) (8,222 ) 317,101 521,788 Income tax benefit — — (4,292 ) — (4,292 ) Net income (loss) 526,080 (313,171 ) (3,930 ) 317,101 526,080 Less: net loss attributable to noncontrolling interests (6 ) (6 ) — 6 (6 ) Net income (loss) attributable to PBF Holding Company LLC $ 526,086 $ (313,165 ) $ (3,930 ) $ 317,095 $ 526,086 Comprehensive income (loss) attributable to PBF Holding Company LLC $ 526,373 $ (313,165 ) $ (3,930 ) $ 317,095 $ 526,373 13. CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED) Nine Months Ended September 30, 2018 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total Revenues $ 20,679,860 $ 1,514,588 $ 2,441,647 $ (3,753,553 ) $ 20,882,542 Cost and expenses: Cost of products and other 18,853,086 1,040,893 2,438,031 (3,753,553 ) 18,578,457 Operating expenses (excluding depreciation and amortization expense as reflected below) 194 1,200,736 22,868 — 1,223,798 Depreciation and amortization expense — 237,195 5,765 — 242,960 Cost of sales 18,853,280 2,478,824 2,466,664 (3,753,553 ) 20,045,215 General and administrative expenses (excluding depreciation and amortization expense as reflected below) 154,167 19,034 1,694 — 174,895 Depreciation and amortization expense 7,871 — — — 7,871 Equity income in investee — — (13,110 ) — (13,110 ) Gain on sale of assets — (43,072 ) — — (43,072 ) Total cost and expenses 19,015,318 2,454,786 2,455,248 (3,753,553 ) 20,171,799 Income (loss) from operations 1,664,542 (940,198 ) (13,601 ) — 710,743 Other income (expense): Equity in loss of subsidiaries (943,652 ) (9,009 ) — 952,661 — Change in fair value of catalyst leases — 5,783 — — 5,783 Interest expense, net (95,968 ) (1,340 ) (814 ) — (98,122 ) Other non-service components of net periodic benefit cost (282 ) 1,112 3 — 833 Income (loss) before income taxes 624,640 (943,652 ) (14,412 ) 952,661 619,237 Income tax benefit — — (5,403 ) — (5,403 ) Net income (loss) 624,640 (943,652 ) (9,009 ) 952,661 624,640 Less: net income attributable to noncontrolling interests 43 43 — (43 ) 43 Net income (loss) attributable to PBF Holding Company LLC $ 624,597 $ (943,695 ) $ (9,009 ) $ 952,704 $ 624,597 Comprehensive income (loss) attributable to PBF Holding Company LLC $ 625,048 $ (943,695 ) $ (9,009 ) $ 952,704 $ 625,048 13. CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED) Nine Months Ended September 30, 2017 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total Revenues $ 15,064,488 $ 983,917 $ 1,578,553 $ (2,387,693 ) $ 15,239,265 Cost and expenses: Cost of products and other 13,547,358 615,093 1,551,638 (2,387,693 ) 13,326,396 Operating expenses (excluding depreciation and amortization expense as reflected below) (42 ) 1,200,113 24,686 — 1,224,757 Depreciation and amortization expense — 175,543 5,695 — 181,238 Cost of sales 13,547,316 1,990,749 1,582,019 (2,387,693 ) 14,732,391 General and administrative expenses (excluding depreciation and amortization expense as reflected below) 112,370 18,410 (736 ) — 130,044 Depreciation and amortization expense 10,355 — — — 10,355 Equity income in investee — — (11,218 ) — (11,218 ) Loss on sale of assets — 940 — — 940 Total cost and expenses 13,670,041 2,010,099 1,570,065 (2,387,693 ) 14,862,512 Income (loss) from operations 1,394,447 (1,026,182 ) 8,488 — 376,753 Other income (expense): Equity in (loss) earnings of subsidiaries (1,022,866 ) 5,802 — 1,017,064 — Change in fair value of catalyst leases — (1,011 ) — — (1,011 ) Debt extinguishment costs (25,451 ) — — — (25,451 ) Interest expense, net (90,918 ) (1,143 ) (721 ) — (92,782 ) Other non-service components of net periodic benefit cost (48 ) (257 ) — — (305 ) Income (loss) before income taxes 255,164 (1,022,791 ) 7,767 1,017,064 257,204 Income tax expense — — 2,040 — 2,040 Net income (loss) 255,164 (1,022,791 ) 5,727 1,017,064 255,164 Less: net income attributable to noncontrolling interests 374 374 — (374 ) 374 Net income (loss) attributable to PBF Holding Company LLC $ 254,790 $ (1,023,165 ) $ 5,727 $ 1,017,438 $ 254,790 Comprehensive income (loss) attributable to PBF Holding Company LLC $ 255,728 $ (1,023,165 ) $ 5,727 $ 1,017,438 $ 255,728 CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (UNAUDITED) Nine Months Ended September 30, 2018 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total Cash flows from operating activities: Net income (loss) $ 624,640 $ (943,652 ) $ (9,009 ) $ 952,661 $ 624,640 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation and amortization 12,548 237,234 5,832 — 255,614 Stock-based compensation — 14,059 — — 14,059 Change in fair value of catalyst leases — (5,783 ) — — (5,783 ) Deferred income taxes — — (5,377 ) — (5,377 ) Non-cash change in inventory repurchase obligations 10,701 — — — 10,701 Non-cash lower of cost or market inventory adjustment (300,456 ) — — — (300,456 ) Pension and other post-retirement benefit costs 5,626 29,910 — — 35,536 Income from equity method investee — — (13,110 ) — (13,110 ) Distributions from equity method investee — — 13,110 — 13,110 Gain on sale of assets — (43,072 ) — — (43,072 ) Equity in earnings of subsidiaries 943,652 9,009 — (952,661 ) — Changes in operating assets and liabilities: Accounts receivable (120,764 ) (3,970 ) 11,062 — (113,672 ) Due to/from affiliates (1,103,057 ) 1,112,098 (25,711 ) — (16,670 ) Inventories (83,703 ) — 36,850 — (46,853 ) Prepaid and other current assets (4,831 ) (4,684 ) 851 — (8,664 ) Accounts payable (69,542 ) (34,184 ) (2,429 ) — (106,155 ) Accrued expenses 300,546 (5,962 ) 8,010 — 302,594 Deferred revenue 4,417 68 (9 ) — 4,476 Other assets and liabilities 32,188 (21,757 ) (16,893 ) — (6,462 ) Net cash provided by operating activities 251,965 339,314 3,177 — 594,456 Cash flows from investing activities: Expenditures for property, plant and equipment (4,726 ) (159,612 ) (1,337 ) — (165,675 ) Expenditures for deferred turnaround costs — (201,029 ) — — (201,029 ) Expenditures for other assets — (16,946 ) — — (16,946 ) Proceeds from sale of assets — 48,290 — — 48,290 Equity method investment - return of capital — — 3,140 — 3,140 Due to/from affiliates (1,143 ) — — 1,143 — Net cash (used in) provided by investing activities (5,869 ) (329,297 ) 1,803 1,143 (332,220 ) Cash flows from financing activities: Contributions from PBF LLC 287,000 — — — 287,000 Distribution to members (36,090 ) — — — (36,090 ) Repayments of PBF Rail Term Loan — — (5,092 ) — (5,092 ) Repayment of note payable — (5,621 ) — — (5,621 ) Catalyst lease settlements — (9,466 ) — — (9,466 ) Due to/from affiliates — 1,143 — (1,143 ) — Proceeds from insurance premium financing 467 6,492 — — 6,959 Deferred financing cost and other (12,692 ) — — — (12,692 ) Net cash provided by (used in) financing activities 238,685 (7,452 ) (5,092 ) (1,143 ) 224,998 Net increase (decrease) in cash and cash equivalents 484,781 2,565 (112 ) — 487,234 Cash and cash equivalents, beginning of period 486,568 13,456 26,136 — 526,160 Cash and cash equivalents, end of period $ 971,349 $ 16,021 $ 26,024 $ — $ 1,013,394 13. CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (UNAUDITED) Nine Months Ended September 30, 2017 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total Cash flows from operating activities: Net income (loss) $ 255,164 $ (1,022,791 ) $ 5,727 $ 1,017,064 $ 255,164 Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities: Depreciation and amortization 15,746 175,859 5,760 — 197,365 Stock-based compensation — 13,549 — — 13,549 Change in fair value of catalyst leases — 1,011 — — 1,011 Deferred income taxes — — 641 — 641 Non-cash change in inventory repurchase obligations (26,659 ) — — — (26,659 ) Non-cash lower of cost or market inventory adjustment (97,943 ) — — — (97,943 ) Debt extinguishment costs 25,451 — — — 25,451 Pension and other post-retirement benefit costs 4,956 26,726 — — 31,682 Income from equity method investee — — (11,218 ) — (11,218 ) Distributions from equity method investee — — 16,897 — 16,897 Loss on sale of assets — 940 — — 940 Equity in earnings (loss) of subsidiaries 1,022,866 (5,802 ) — (1,017,064 ) — Changes in operating assets and liabilities: Accounts receivable (119,813 ) (1,782 ) (37,431 ) — (159,026 ) Due to/from affiliates (1,494,632 ) 1,451,846 40,468 — (2,318 ) Inventories (286,677 ) — (62,512 ) — (349,189 ) Prepaid and other current assets 4,200 (8,467 ) 160 — (4,107 ) Accounts payable (50,102 ) (58,691 ) 4,261 1,463 (103,069 ) Accrued expenses 365,132 (13,352 ) 49,894 — 401,674 Deferred revenue (7,687 ) (1,364 ) 7 — (9,044 ) Other assets and liabilities (14,472 ) (26,189 ) (16,726 ) — (57,387 ) Net cash (used in) provided by operations (404,470 ) 531,493 (4,072 ) 1,463 124,414 Cash flows from investing activities: Expenditures for property, plant and equipment (847 ) (210,076 ) (301 ) — (211,224 ) Expenditures for deferred turnaround costs — (341,598 ) — — (341,598 ) Expenditures for other assets — (31,096 ) — — (31,096 ) Equity method investment - return of capital — — 451 — 451 Due to/from affiliates (3,684 ) — — 3,684 — Net cash (used in) provided by investing activities (4,531 ) (582,770 ) 150 3,684 (583,467 ) Cash flows from financing activities: Contributions from PBF LLC 97,000 — — — 97,000 Distributions to members (39,315 ) — — — (39,315 ) Proceeds from 2025 Senior Notes 725,000 — — — 725,000 Cash paid to extinguish 2020 Senior Secured Notes (690,209 ) — — — (690,209 ) Repayments of PBF Rail Term Loan — — (4,959 ) — (4,959 ) Proceeds from revolver borrowings 490,000 — — — 490,000 Repayments of revolver borrowings (490,000 ) — — — (490,000 ) Due to/from affiliates — 3,684 — (3,684 ) — Deferred financing costs and other (13,424 ) — — — (13,424 ) Net cash provided by (used in) financing activities 79,052 3,684 (4,959 ) (3,684 ) 74,093 Net decrease in cash and cash equivalents (329,949 ) (47,593 ) (8,881 ) 1,463 (384,960 ) Cash and cash equivalents, beginning of period 530,085 56,717 41,366 (1,463 ) 626,705 Cash and cash equivalents, end of period $ 200,136 $ 9,124 $ 32,485 $ — $ 241,745 |
DESCRIPTION OF THE BUSINESS A_2
DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION (Policies) | 9 Months Ended |
Sep. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
New Accounting Pronouncements | Recently Adopted Accounting Guidance In May 2014, the Financial Accounting Standard Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09 (Topic 606) “Revenue from Contracts with Customers.” (“ASC 606”). ASC 606 supersedes the revenue recognition requirements in Accounting Standards Codification 605 “Revenue Recognition” (“ASC 605”), and requires entities to recognize revenue when control of the promised goods or services is transferred to customers at an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. The Company adopted ASC 606 as of January 1, 2018 using the modified retrospective transition method. See “Note 2 - Revenues” for further details. In March 2017, the FASB issued ASU No. 2017-07, “Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost” (“ASU 2017-07”), which provides guidance to improve the reporting of net periodic benefit cost in the income statement and on the components eligible for capitalization in assets. Under the new guidance, employers will present the service cost component of net periodic benefit cost in the same income statement line item(s) as other employee compensation costs arising from services rendered during the period. Only the service cost component will be eligible for capitalization in assets. Additionally, under this guidance, employers will present the other non-service components of the net periodic benefit cost separately from the line item(s) that includes the service cost and outside of any subtotal of operating income, if one is presented. Employers will apply the guidance on the presentation of the components of net periodic benefit cost in the income statement retrospectively. The guidance limiting the capitalization of net periodic benefit cost in assets to the service cost component will be applied prospectively. The guidance includes a practical expedient allowing entities to estimate amounts for comparative periods using the information previously disclosed in their pension and other postretirement benefit plan note to the financial statements. The amendments in this ASU are effective for annual periods beginning after December 15, 2017, including interim periods within those annual periods. The Company adopted ASU 2017-07 effective January 1, 2018 and applied the new guidance retrospectively in the Condensed Consolidated Statements of Operations. Income and expense amounts related to non-service components of net periodic benefit cost, historically recorded within Operating expenses and General and administrative expenses, have been recorded within Other income (expense). For the three and nine months ended September 30, 2018 , the Company recorded income of $278 and $833 , respectively, related to non-service components of net periodic benefit cost. For the three and nine months ended September 30, 2017 , the Company recorded expense of $103 and $305 , respectively, related to non-service components of net periodic benefit cost. In May 2017, the FASB issued ASU No. 2017-09, “Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting” (“ASU 2017-09”), which provides guidance to increase clarity and reduce both diversity in practice and cost and complexity when applying the existing accounting guidance on changes to the terms or conditions of a share-based payment award. The amendments in ASU 2017-09 require an entity to account for the effects of a modification unless all the following are met: (i) the fair value of the modified award is the same as the fair value of the original award immediately before the original award is modified; (ii) the vesting conditions of the modified award are the same as the vesting conditions of the original award immediately before the original award is modified; and (iii) the classification of the modified award as an equity instrument or a liability instrument is the same as the classification of the original award immediately before the original award is modified. The guidance in ASU 2017-09 should be applied prospectively. The amendments in this ASU are effective for annual periods beginning after December 15, 2017, including interim periods within those annual periods. The Company’s adoption of this guidance did not materially impact its condensed consolidated financial statements. Recent Accounting Pronouncements In February 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842)” (“ASU 2016-02”), to increase the transparency and comparability about leases among entities. Additional ASUs have been issued subsequent to ASU 2016-02 to provide supplementary clarification and implementation guidance for leases related to, among other things, the application of certain practical expedients, the rate implicit in the lease, lessee reassessment of lease classification, lessor reassessment of lease term and purchase options, variable payments that depend on an index or rate and certain transition adjustments (collectively, the Company refers to ASU 2016-02 and these additional ASUs as the “Updated Lease Guidance”). The Updated Lease Guidance requires lessees to recognize a lease liability and a corresponding lease asset for virtually all lease contracts. It also requires additional disclosures about leasing arrangements. The Updated Lease Guidance is effective for interim and annual periods beginning after December 15, 2018, and allows a modified retrospective approach to adoption. While early adoption is permitted, the Company will not early adopt the Updated Lease Guidance. The Company has established a working group to study the implementation of the Updated Lease Guidance and has instituted a task plan designed to meet the requirements and implementation deadline. The Company has also evaluated and purchased a lease software system, completed software design and configuration of the system, and substantially completed testing the implementation of the selected system. The working group continues to evaluate the impact of the Updated Lease Guidance on the Company’s consolidated financial statements and related disclosures and has designed and begun implementing business processes and controls to address the new guidance. While the assessment of this standard is ongoing, the Company has identified that the most significant impacts of the Updated Lease Guidance will be to bring nearly all leases, with the exception of certain short-term leases, on its balance sheet reflected as right of use assets and lease obligation liabilities as well as accelerating recognition of the interest expense component of financing leases. The new standard will also require additional disclosures for financing and operating leases. The Updated Lease Guidance allows for certain practical expedients, certain of which the Company has elected to adopt including, among others, the expedient to carry forward the classification of leases under current lease guidance once the Updated Lease Guidance becomes effective, the expedient to not include short-term leases on its balance sheet and to avail itself of the additional transition method whereby it will apply the Updated Lease Guidance on the effective date and recognize a cumulative-effect adjustment to opening retained earnings. In August 2017, the FASB issued ASU No. 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities” (“ASU 2017-12”). The amendments in ASU 2017-12 more closely align the results of cash flow and fair value hedge accounting with risk management activities in the consolidated financial statements. The amendments expand the ability to hedge nonfinancial and financial risk components, reduce complexity in fair value hedges of interest rate risk, eliminate the requirement to separately measure and report hedge ineffectiveness, and eases certain hedge effectiveness assessment requirements. The guidance in ASU 2017-12 should be applied using a modified retrospective approach. The guidance in ASU 2017-12 also provides transition relief to make it easier for entities to apply certain amendments to existing hedges (including fair value hedges) where the hedge documentation needs to be modified. The presentation and disclosure requirements of ASU 2017-12 should be applied prospectively. The amendments in this ASU are effective for annual periods beginning after December 15, 2018, including interim periods within those annual periods. While the Company is still evaluating the timing of adoption, it currently does not expect this guidance to have a material impact on its consolidated financial statements and related disclosures. In June 2018, the FASB issued ASU No. 2018-07, “Compensation - Stock Compensation (Topic 718): Targeted Improvements to Non-employee Share-Based Payment Accounting” (“ASU 2018-07”). ASU 2018-07 expands the scope of Topic 718, Compensation-Stock Compensation, to include share-based payment transactions for acquiring goods and services from nonemployees. As a result, nonemployee share-based transactions will be measured by estimating the fair value of the equity instruments at the grant date, taking into consideration the probability of satisfying performance conditions. In addition, ASU 2018-07 also clarifies that any share-based payment awards issued to customers should be evaluated under ASC 606, Revenue from Contracts with Customers. The amendments in this ASU are effective for annual periods beginning after December 15, 2018, including interim periods within those annual periods. Early adoption is permitted. The Company does not expect this guidance to have a material impact on its consolidated financial statements and related disclosures. In August 2018, the FASB issued ASU No. 2018-14, “Compensation - Retirement Benefits - Defined Benefit Plans - General (Subtopic 715-20), to improve the effectiveness of disclosures in the notes to financial statements by facilitating clear communication of the information required by GAAP that is most important to users of each entity’s financial statements. The amendments in this ASU modify the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. Additionally, the amendments in this ASU remove disclosures that no longer are considered cost beneficial, clarify the specific requirements of disclosures, and add disclosure requirements identified as relevant. The amendments in this ASU are effective for fiscal years ending after December 15, 2020, for public business entities and for fiscal years ending after December 15, 2021, for all other entities. Early adoption is permitted for all entities. The Company is currently evaluating the impact of this new standard on its consolidated financial statements and related disclosures. |
REVENUES (Tables)
REVENUES (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Revenues [Abstract] | |
Revenue from External Customers by Products and Services [Table Text Block] | The following table provides information relating to the Company’s revenues from external customers for each product or group of similar products for the periods presented: Three Months Ended 2018 2017 Gasoline and distillates $ 6,227,509 $ 4,657,279 Feedstocks and other 552,683 193,519 Asphalt and blackoils 544,943 361,401 Chemicals 243,174 189,812 Lubricants 74,162 73,805 Total Revenues $ 7,642,471 $ 5,475,816 Nine Months Ended 2018 2017 Gasoline and distillates $ 17,563,586 $ 12,900,465 Asphalt and blackoils 1,251,007 834,260 Feedstocks and other 1,195,589 728,880 Chemicals 621,834 553,311 Lubricants 250,526 222,349 Total Revenues $ 20,882,542 $ 15,239,265 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | Inventories consisted of the following: September 30, 2018 Titled Inventory Inventory Intermediation Agreements Total Crude oil and feedstocks $ 1,055,654 $ — $ 1,055,654 Refined products and blendstocks 1,060,841 339,134 1,399,975 Warehouse stock and other 105,477 — 105,477 $ 2,221,972 $ 339,134 $ 2,561,106 Lower of cost or market adjustment — — — Total inventories $ 2,221,972 $ 339,134 $ 2,561,106 December 31, 2017 Titled Inventory Inventory Intermediation Agreements Total Crude oil and feedstocks $ 1,073,093 $ — $ 1,073,093 Refined products and blendstocks 1,030,817 311,477 1,342,294 Warehouse stock and other 98,866 — 98,866 $ 2,202,776 $ 311,477 $ 2,514,253 Lower of cost or market adjustment (232,652 ) (67,804 ) (300,456 ) Total inventories $ 1,970,124 $ 243,673 $ 2,213,797 |
ACCRUED EXPENSES (Tables)
ACCRUED EXPENSES (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Payables and Accruals [Abstract] | |
Schedule of accrued expenses | Accrued expenses consisted of the following: September 30, December 31, Inventory-related accruals $ 1,451,142 $ 1,151,810 Inventory intermediation agreements 254,022 244,287 Excise and sales tax payable 122,405 118,515 Accrued transportation costs 56,167 64,400 Accrued salaries and benefits 55,366 58,589 Renewable energy credit and emissions obligations 32,753 26,231 Accrued utilities 32,371 42,189 Accrued interest 28,934 9,466 Accrued capital expenditures 25,997 17,342 Accrued refinery maintenance and support costs 23,147 35,674 Customer deposits 20,583 16,133 Environmental liabilities 6,737 7,968 Other 20,144 8,255 Total accrued expenses $ 2,129,768 $ 1,800,859 |
INCOME TAXES INCOME TAX EXPENSE
INCOME TAXES INCOME TAX EXPENSE (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
INCOME TAX EXPENSE [Abstract] | |
Schedule of components of income tax provision (benefit) | The reported income tax (benefit) expense in the PBF Holding condensed consolidated financial statements of operations consists of the following: Three Months Ended Nine Months Ended 2018 2017 2018 2017 Current income tax expense (benefit) $ 5 $ 190 $ (26 ) $ 1,399 Deferred income tax (benefit) expense (724 ) (4,482 ) (5,377 ) 641 Total income tax (benefit) expense $ (719 ) $ (4,292 ) $ (5,403 ) $ 2,040 |
RELATED PARTY TRANSACTIONS (Tab
RELATED PARTY TRANSACTIONS (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Related Party Transactions [Abstract] | |
Schedule of related party transactions | A summary of transactions with PBFX is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Reimbursements under affiliate agreements: Services Agreement $ 1,979 $ 1,639 $ 5,327 $ 4,918 Omnibus Agreement 1,927 1,890 5,364 5,174 Total expenses under affiliate agreements 66,140 62,359 190,789 176,916 |
EMPLOYEE BENEFIT PLANS (Tables)
EMPLOYEE BENEFIT PLANS (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Defined Benefit Plan [Abstract] | |
Schedule of net periodic benefit cost | The components of net periodic benefit cost related to the Company’s defined benefit plans consisted of the following: Three Months Ended Nine Months Ended Pension Benefits 2018 2017 2018 2017 Components of net periodic benefit cost: Service cost $ 11,836 $ 10,142 $ 35,508 $ 30,429 Interest cost 1,448 1,084 4,344 3,252 Expected return on plan assets (2,135 ) (1,441 ) (6,405 ) (4,325 ) Amortization of prior service cost 22 13 65 39 Amortization of actuarial loss 71 113 214 339 Net periodic benefit cost $ 11,242 $ 9,911 $ 33,726 $ 29,734 Three Months Ended Nine Months Ended Post-Retirement Medical Plan 2018 2017 2018 2017 Components of net periodic benefit cost: Service cost $ 287 $ 316 $ 861 $ 948 Interest cost 155 172 465 516 Amortization of prior service cost 161 162 484 484 Net periodic benefit cost $ 603 $ 650 $ 1,810 $ 1,948 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The tables below present information about the Company’s financial assets and liabilities measured and recorded at fair value on a recurring basis and indicate the fair value hierarchy of the inputs utilized to determine the fair values as of September 30, 2018 and December 31, 2017 . We have elected to offset the fair value amounts recognized for multiple derivative contracts executed with the same counterparty; however, fair value amounts by hierarchy level are presented on a gross basis in the tables below. We have posted cash margin with various counterparties to support hedging and trading activities. The cash margin posted is required by counterparties as collateral deposits and cannot be offset against the fair value of open contracts except in the event of default. We have no derivative contracts that are subject to master netting arrangements that are reflected gross on the balance sheet. As of September 30 2018 Fair Value Hierarchy Total Gross Fair Value Effect of Counter-party Netting Net Carrying Value on Balance Sheet Level 1 Level 2 Level 3 Assets: Money market funds $ 371,209 $ — $ — $ 371,209 N/A $ 371,209 Commodity contracts 17,023 1,702 — 18,725 (18,725 ) — Liabilities: Commodity contracts 24,202 21,895 — 46,097 (18,725 ) 27,372 Catalyst lease obligations — 43,800 — 43,800 — 43,800 Derivatives included with inventory intermediation agreement obligations — 18,422 — 18,422 — 18,422 As of December 31, 2017 Fair Value Hierarchy Total Gross Fair Value Effect of Counter-party Netting Net Carrying Value on Balance Sheet Level 1 Level 2 Level 3 Assets: Money market funds $ 4,730 $ — $ — $ 4,730 N/A $ 4,730 Commodity contracts 10,031 357 — 10,388 (10,388 ) — Liabilities: Commodity contracts 51,673 33,035 — 84,708 (10,388 ) 74,320 Catalyst lease obligations — 59,048 — 59,048 — 59,048 Derivatives included with inventory intermediation agreement obligations — 7,721 — 7,721 — 7,721 |
Schedule of Effect of Significant Unobservable Inputs | The table below summarizes the changes in fair value measurements of commodity contracts categorized in Level 3 of the fair value hierarchy: Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Balance at beginning of period $ — $ — $ — $ (84 ) Purchases — — — — Settlements — — — 45 Unrealized gain included in earnings — — — 39 Transfers into Level 3 — — — — Transfers out of Level 3 — — — — Balance at end of period $ — $ — $ — $ — |
Schedule of Fair value of Debt | The table below summarizes the fair value and carrying value of debt as of September 30, 2018 and December 31, 2017 . September 30, 2018 December 31, 2017 Carrying value Fair value Carrying value Fair value 2025 Senior Notes (a) $ 725,000 $ 767,282 $ 725,000 $ 763,945 2023 Senior Notes (a) 500,000 522,798 500,000 522,101 Revolving Credit Agreement (b) 350,000 350,000 350,000 350,000 PBF Rail Term Loan (b) 23,273 23,273 28,366 28,366 Catalyst leases (c) 43,800 43,800 59,048 59,048 1,642,073 1,707,153 1,662,414 1,723,460 Less - Current debt (c) (1,242 ) (1,242 ) (10,987 ) (10,987 ) Less - Unamortized deferred financing costs (32,094 ) n/a (25,178 ) n/a Long-term debt $ 1,608,737 $ 1,705,911 $ 1,626,249 $ 1,712,473 (a) The estimated fair value, categorized as a Level 2 measurement, was calculated based on the present value of future expected payments utilizing implied current market interest rates based on quoted prices of the 7.00% senior notes due 2023 and the 7.25% senior notes due 2025 (collectively, the “Senior Notes”). (b) The estimated fair value approximates carrying value, categorized as a Level 2 measurement, as these borrowings bear interest based upon short-term floating market interest rates. (c) Catalyst leases are valued using a market approach based upon commodity prices for similar instruments quoted in active markets and are categorized as a Level 2 measurement. The Company has elected the fair value option for accounting for its catalyst lease repurchase obligations as the Company’s liability is directly impacted by the change in fair value of the underlying catalyst. During 2017, Delaware City Refining entered into two platinum bridge leases which were settled during the second quarter of 2018 and the Company entered into a new platinum bridge lease, which will expire in the first quarter of 2019. The total outstanding balance related to these bridge leases as of September 30, 2018 and December 31, 2017 was $1,242 and $10,987 , respectively, and is included in Current debt on the Company’s Condensed Consolidated balance sheet. |
DERIVATIVES (Tables)
DERIVATIVES (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Fair Value of Derivative Instruments | The following tables provide information about the fair values of these derivative instruments as of September 30, 2018 and December 31, 2017 and the line items in the condensed consolidated balance sheet in which the fair values are reflected. Description Balance Sheet Location Fair Value Asset/(Liability) Derivatives designated as hedging instruments: September 30, 2018: Derivatives included with the inventory intermediation agreement obligations Accrued expenses $ (18,422 ) December 31, 2017: Derivatives included with the inventory intermediation agreement obligations Accrued expenses $ (7,721 ) Derivatives not designated as hedging instruments: September 30, 2018: Commodity contracts Accrued expenses $ (27,372 ) December 31, 2017: Commodity contracts Accrued expenses $ (74,320 ) |
Schedule of Derivative Instruments, Gain (Loss) Recognized in Income | The following table provides information about the gains or losses recognized in income on these derivative instruments and the line items in the condensed consolidated statements of operations in which such gains and losses are reflected. Description Location of Gain or (Loss) Recognized in Income on Derivatives Gain or (Loss) Recognized in Income on Derivatives Derivatives designated as hedging instruments: For the three months ended September 30, 2018: Derivatives included with the inventory intermediation agreement obligations Cost of products and other $ (8,163 ) For the three months ended September 30, 2017: Derivatives included with the inventory intermediation agreement obligations Cost of products and other $ (29,766 ) For the nine months ended September 30, 2018: Derivatives included with the inventory intermediation agreement obligations Cost of products and other $ (10,701 ) For the nine months ended September 30, 2017: Derivatives included with the inventory intermediation agreement obligations Cost of products and other $ (26,659 ) Derivatives not designated as hedging instruments: For the three months ended September 30, 2018: Commodity contracts Cost of products and other $ (9,517 ) For the three months ended September 30, 2017: Commodity contracts Cost of products and other $ (17,291 ) For the nine months ended September 30, 2018: Commodity contracts Cost of products and other $ (55,877 ) For the nine months ended September 30, 2017: Commodity contracts Cost of products and other $ (2,606 ) Hedged items designated in fair value hedges: For the three months ended September 30, 2018: Intermediate and refined product inventory Cost of products and other $ 8,163 For the three months ended September 30, 2017: Intermediate and refined product inventory Cost of products and other $ 29,766 For the nine months ended September 30, 2018: Intermediate and refined product inventory Cost of products and other $ 10,701 For the nine months ended September 30, 2017: Intermediate and refined product inventory Cost of products and other $ 26,659 |
CONDENSED CONSOLIDATING FINAN_2
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDINGS (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Condensed Financial Information of Subsidiary Disclosure [Abstract] | |
Condensed Consolidating Balance Sheet | CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING BALANCE SHEETS (UNAUDITED) September 30, 2018 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total ASSETS Current assets: Cash and cash equivalents $ 971,349 $ 16,021 $ 26,024 $ — $ 1,013,394 Accounts receivable 1,024,062 11,575 29,164 — 1,064,801 Accounts receivable - affiliate 1,413 15,521 725 — 17,659 Inventories 2,366,474 — 194,632 — 2,561,106 Prepaid and other current assets 25,356 31,782 1,049 — 58,187 Due from related parties 32,674,797 24,698,233 9,068,281 (66,441,311 ) — Total current assets 37,063,451 24,773,132 9,319,875 (66,441,311 ) 4,715,147 Property, plant and equipment, net 18,641 2,609,644 232,105 — 2,860,390 Investment in subsidiaries — 387,740 — (387,740 ) — Investment in equity method investee — — 168,763 — 168,763 Deferred charges and other assets, net 18,595 833,213 34 — 851,842 Total assets $ 37,100,687 $ 28,603,729 $ 9,720,777 $ (66,829,051 ) $ 8,596,142 LIABILITIES AND EQUITY Current liabilities: Accounts payable $ 344,287 $ 117,388 $ 19,525 $ — $ 481,200 Accounts payable - affiliate 32,555 861 38 — 33,454 Accrued expenses 1,732,674 120,001 277,093 — 2,129,768 Current debt — 1,242 — — 1,242 Deferred revenue 10,422 1,540 9 — 11,971 Due to related parties 27,745,723 29,697,466 8,998,122 (66,441,311 ) — Total current liabilities 29,865,661 29,938,498 9,294,787 (66,441,311 ) 2,657,635 Long-term debt 1,543,186 42,558 22,993 — 1,608,737 Deferred tax liabilities — — 27,778 — 27,778 Other long-term liabilities 47,355 188,998 4,145 — 240,498 Investment in subsidiaries 1,582,991 — — (1,582,991 ) — Total liabilities 33,039,193 30,170,054 9,349,703 (68,024,302 ) 4,534,648 Commitments and contingencies (Note 8) Equity: PBF Holding Company LLC equity Member’s equity 2,648,182 1,725,362 327,691 (2,053,053 ) 2,648,182 Retained earnings / (accumulated deficit) 1,428,938 (3,292,878 ) 43,383 3,249,495 1,428,938 Accumulated other comprehensive loss (26,477 ) (9,660 ) — 9,660 (26,477 ) Total PBF Holding Company LLC equity 4,050,643 (1,577,176 ) 371,074 1,206,102 4,050,643 Noncontrolling interest 10,851 10,851 — (10,851 ) 10,851 Total equity 4,061,494 (1,566,325 ) 371,074 1,195,251 4,061,494 Total liabilities and equity $ 37,100,687 $ 28,603,729 $ 9,720,777 $ (66,829,051 ) $ 8,596,142 13. CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING BALANCE SHEETS (UNAUDITED) December 31, 2017 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total ASSETS Current assets: Cash and cash equivalents $ 486,568 $ 13,456 $ 26,136 $ — $ 526,160 Accounts receivable 903,298 7,605 40,226 — 951,129 Accounts receivable - affiliate 2,321 5,300 731 — 8,352 Inventories 1,982,315 — 231,482 — 2,213,797 Prepaid and other current assets 20,523 27,100 1,900 — 49,523 Due from related parties 28,632,914 23,302,660 6,820,693 (58,756,267 ) — Total current assets 32,027,939 23,356,121 7,121,168 (58,756,267 ) 3,748,961 Property, plant and equipment, net 21,785 2,547,229 236,376 — 2,805,390 Investment in subsidiaries — 413,136 — (413,136 ) — Investment in equity method investee — — 171,903 — 171,903 Deferred charges and other assets, net 30,141 749,749 34 — 779,924 Total assets $ 32,079,865 $ 27,066,235 $ 7,529,481 $ (59,169,403 ) $ 7,506,178 LIABILITIES AND EQUITY Current liabilities: Accounts payable $ 413,829 $ 137,149 $ 21,954 $ — $ 572,932 Accounts payable - affiliate 39,952 865 — — 40,817 Accrued expenses 1,409,212 122,722 268,925 — 1,800,859 Current debt — 10,987 — — 10,987 Deferred revenue 6,005 1,472 18 — 7,495 Note payable — 5,621 — — 5,621 Due to related parties 24,813,299 27,166,679 6,776,289 (58,756,267 ) — Total current liabilities 26,682,297 27,445,495 7,067,186 (58,756,267 ) 2,438,711 Long-term debt 1,550,206 48,024 28,019 — 1,626,249 Deferred tax liabilities — — 33,155 — 33,155 Other long-term liabilities 30,612 189,204 4,145 — 223,961 Investment in subsidiaries 632,648 — — (632,648 ) — Total liabilities 28,895,763 27,682,723 7,132,505 (59,388,915 ) 4,322,076 Commitments and contingencies (Note 8) Equity: PBF Holding Company LLC equity Member’s equity 2,359,791 1,731,268 343,940 (2,075,208 ) 2,359,791 Retained earnings / (accumulated deficit) 840,431 (2,348,904 ) 53,036 2,295,868 840,431 Accumulated other comprehensive loss (26,928 ) (9,660 ) — 9,660 (26,928 ) Total PBF Holding Company LLC equity 3,173,294 (627,296 ) 396,976 230,320 3,173,294 Noncontrolling interest 10,808 10,808 — (10,808 ) 10,808 Total equity 3,184,102 (616,488 ) 396,976 219,512 3,184,102 Total liabilities and equity $ 32,079,865 $ 27,066,235 $ 7,529,481 $ (59,169,403 ) $ 7,506,178 |
Condensed Income Statement | D CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED) Three Months Ended September 30, 2018 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total Revenues $ 7,565,959 $ 460,805 $ 852,441 $ (1,236,734 ) $ 7,642,471 Cost and expenses: Cost of products and other 6,986,334 279,448 847,650 (1,236,734 ) 6,876,698 Operating expenses (excluding depreciation and amortization expense as reflected below) 163 400,953 8,484 — 409,600 Depreciation and amortization expense — 81,431 1,922 — 83,353 Cost of sales 6,986,497 761,832 858,056 (1,236,734 ) 7,369,651 General and administrative expenses (excluding depreciation and amortization expense as reflected below) 59,304 6,050 (485 ) — 64,869 Depreciation and amortization expense 2,594 — — — 2,594 Equity income in investee — — (4,725 ) — (4,725 ) Gain on sale of assets — (43,745 ) — — (43,745 ) Total cost and expenses 7,048,395 724,137 852,846 (1,236,734 ) 7,388,644 Income (loss) from operations 517,564 (263,332 ) (405 ) — 253,827 Other income (expense): Equity in (loss) earnings of subsidiaries (261,695 ) 40 — 261,655 — Change in fair value of catalyst leases — 1,630 — — 1,630 Interest expense, net (31,074 ) (408 ) (274 ) — (31,756 ) Other non-service components of net periodic benefit cost (97 ) 375 — — 278 Income (loss) before income taxes 224,698 (261,695 ) (679 ) 261,655 223,979 Income tax benefit — — (719 ) — (719 ) Net income (loss) 224,698 (261,695 ) 40 261,655 224,698 Less: net income attributable to noncontrolling interests 35 35 — (35 ) 35 Net income (loss) attributable to PBF Holding Company LLC $ 224,663 $ (261,730 ) $ 40 $ 261,690 $ 224,663 Comprehensive income (loss) attributable to PBF Holding Company LLC $ 224,840 $ (261,730 ) $ 40 $ 261,690 $ 224,840 13. CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED) Three Months Ended September 30, 2017 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total Revenues $ 5,410,245 $ 223,582 $ 536,386 $ (694,397 ) $ 5,475,816 Cost and expenses: Cost of products and other 4,483,164 85,031 538,011 (694,397 ) 4,411,809 Operating expenses (excluding depreciation and amortization expense as reflected below) 289 380,864 8,351 — 389,504 Depreciation and amortization expense — 68,419 1,919 — 70,338 Cost of sales 4,483,453 534,314 548,281 (694,397 ) 4,871,651 General and administrative expenses (excluding depreciation and amortization expense as reflected below) 49,864 4,959 (146 ) — 54,677 Depreciation and amortization expense 2,572 — — — 2,572 Equity income in investee — — (3,799 ) — (3,799 ) Loss on sale of assets — 28 — — 28 Total cost and expenses 4,535,889 539,301 544,336 (694,397 ) 4,925,129 Income (loss) from operations 874,356 (315,719 ) (7,950 ) — 550,687 Other income (expense): Equity in (loss) earnings of subsidiaries (319,568 ) 2,467 — 317,101 — Change in fair value of catalyst leases — 473 — — 473 Interest expense, net (28,692 ) (305 ) (272 ) — (29,269 ) Other non-service components of net periodic benefit cost (16 ) (87 ) — — (103 ) Income (loss) before income taxes 526,080 (313,171 ) (8,222 ) 317,101 521,788 Income tax benefit — — (4,292 ) — (4,292 ) Net income (loss) 526,080 (313,171 ) (3,930 ) 317,101 526,080 Less: net loss attributable to noncontrolling interests (6 ) (6 ) — 6 (6 ) Net income (loss) attributable to PBF Holding Company LLC $ 526,086 $ (313,165 ) $ (3,930 ) $ 317,095 $ 526,086 Comprehensive income (loss) attributable to PBF Holding Company LLC $ 526,373 $ (313,165 ) $ (3,930 ) $ 317,095 $ 526,373 13. CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED) Nine Months Ended September 30, 2018 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total Revenues $ 20,679,860 $ 1,514,588 $ 2,441,647 $ (3,753,553 ) $ 20,882,542 Cost and expenses: Cost of products and other 18,853,086 1,040,893 2,438,031 (3,753,553 ) 18,578,457 Operating expenses (excluding depreciation and amortization expense as reflected below) 194 1,200,736 22,868 — 1,223,798 Depreciation and amortization expense — 237,195 5,765 — 242,960 Cost of sales 18,853,280 2,478,824 2,466,664 (3,753,553 ) 20,045,215 General and administrative expenses (excluding depreciation and amortization expense as reflected below) 154,167 19,034 1,694 — 174,895 Depreciation and amortization expense 7,871 — — — 7,871 Equity income in investee — — (13,110 ) — (13,110 ) Gain on sale of assets — (43,072 ) — — (43,072 ) Total cost and expenses 19,015,318 2,454,786 2,455,248 (3,753,553 ) 20,171,799 Income (loss) from operations 1,664,542 (940,198 ) (13,601 ) — 710,743 Other income (expense): Equity in loss of subsidiaries (943,652 ) (9,009 ) — 952,661 — Change in fair value of catalyst leases — 5,783 — — 5,783 Interest expense, net (95,968 ) (1,340 ) (814 ) — (98,122 ) Other non-service components of net periodic benefit cost (282 ) 1,112 3 — 833 Income (loss) before income taxes 624,640 (943,652 ) (14,412 ) 952,661 619,237 Income tax benefit — — (5,403 ) — (5,403 ) Net income (loss) 624,640 (943,652 ) (9,009 ) 952,661 624,640 Less: net income attributable to noncontrolling interests 43 43 — (43 ) 43 Net income (loss) attributable to PBF Holding Company LLC $ 624,597 $ (943,695 ) $ (9,009 ) $ 952,704 $ 624,597 Comprehensive income (loss) attributable to PBF Holding Company LLC $ 625,048 $ (943,695 ) $ (9,009 ) $ 952,704 $ 625,048 13. CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED) Nine Months Ended September 30, 2017 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total Revenues $ 15,064,488 $ 983,917 $ 1,578,553 $ (2,387,693 ) $ 15,239,265 Cost and expenses: Cost of products and other 13,547,358 615,093 1,551,638 (2,387,693 ) 13,326,396 Operating expenses (excluding depreciation and amortization expense as reflected below) (42 ) 1,200,113 24,686 — 1,224,757 Depreciation and amortization expense — 175,543 5,695 — 181,238 Cost of sales 13,547,316 1,990,749 1,582,019 (2,387,693 ) 14,732,391 General and administrative expenses (excluding depreciation and amortization expense as reflected below) 112,370 18,410 (736 ) — 130,044 Depreciation and amortization expense 10,355 — — — 10,355 Equity income in investee — — (11,218 ) — (11,218 ) Loss on sale of assets — 940 — — 940 Total cost and expenses 13,670,041 2,010,099 1,570,065 (2,387,693 ) 14,862,512 Income (loss) from operations 1,394,447 (1,026,182 ) 8,488 — 376,753 Other income (expense): Equity in (loss) earnings of subsidiaries (1,022,866 ) 5,802 — 1,017,064 — Change in fair value of catalyst leases — (1,011 ) — — (1,011 ) Debt extinguishment costs (25,451 ) — — — (25,451 ) Interest expense, net (90,918 ) (1,143 ) (721 ) — (92,782 ) Other non-service components of net periodic benefit cost (48 ) (257 ) — — (305 ) Income (loss) before income taxes 255,164 (1,022,791 ) 7,767 1,017,064 257,204 Income tax expense — — 2,040 — 2,040 Net income (loss) 255,164 (1,022,791 ) 5,727 1,017,064 255,164 Less: net income attributable to noncontrolling interests 374 374 — (374 ) 374 Net income (loss) attributable to PBF Holding Company LLC $ 254,790 $ (1,023,165 ) $ 5,727 $ 1,017,438 $ 254,790 Comprehensive income (loss) attributable to PBF Holding Company LLC $ 255,728 $ (1,023,165 ) $ 5,727 $ 1,017,438 $ 255,728 |
Condensed Consolidating Statement of Cash Flow | CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (UNAUDITED) Nine Months Ended September 30, 2018 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total Cash flows from operating activities: Net income (loss) $ 624,640 $ (943,652 ) $ (9,009 ) $ 952,661 $ 624,640 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation and amortization 12,548 237,234 5,832 — 255,614 Stock-based compensation — 14,059 — — 14,059 Change in fair value of catalyst leases — (5,783 ) — — (5,783 ) Deferred income taxes — — (5,377 ) — (5,377 ) Non-cash change in inventory repurchase obligations 10,701 — — — 10,701 Non-cash lower of cost or market inventory adjustment (300,456 ) — — — (300,456 ) Pension and other post-retirement benefit costs 5,626 29,910 — — 35,536 Income from equity method investee — — (13,110 ) — (13,110 ) Distributions from equity method investee — — 13,110 — 13,110 Gain on sale of assets — (43,072 ) — — (43,072 ) Equity in earnings of subsidiaries 943,652 9,009 — (952,661 ) — Changes in operating assets and liabilities: Accounts receivable (120,764 ) (3,970 ) 11,062 — (113,672 ) Due to/from affiliates (1,103,057 ) 1,112,098 (25,711 ) — (16,670 ) Inventories (83,703 ) — 36,850 — (46,853 ) Prepaid and other current assets (4,831 ) (4,684 ) 851 — (8,664 ) Accounts payable (69,542 ) (34,184 ) (2,429 ) — (106,155 ) Accrued expenses 300,546 (5,962 ) 8,010 — 302,594 Deferred revenue 4,417 68 (9 ) — 4,476 Other assets and liabilities 32,188 (21,757 ) (16,893 ) — (6,462 ) Net cash provided by operating activities 251,965 339,314 3,177 — 594,456 Cash flows from investing activities: Expenditures for property, plant and equipment (4,726 ) (159,612 ) (1,337 ) — (165,675 ) Expenditures for deferred turnaround costs — (201,029 ) — — (201,029 ) Expenditures for other assets — (16,946 ) — — (16,946 ) Proceeds from sale of assets — 48,290 — — 48,290 Equity method investment - return of capital — — 3,140 — 3,140 Due to/from affiliates (1,143 ) — — 1,143 — Net cash (used in) provided by investing activities (5,869 ) (329,297 ) 1,803 1,143 (332,220 ) Cash flows from financing activities: Contributions from PBF LLC 287,000 — — — 287,000 Distribution to members (36,090 ) — — — (36,090 ) Repayments of PBF Rail Term Loan — — (5,092 ) — (5,092 ) Repayment of note payable — (5,621 ) — — (5,621 ) Catalyst lease settlements — (9,466 ) — — (9,466 ) Due to/from affiliates — 1,143 — (1,143 ) — Proceeds from insurance premium financing 467 6,492 — — 6,959 Deferred financing cost and other (12,692 ) — — — (12,692 ) Net cash provided by (used in) financing activities 238,685 (7,452 ) (5,092 ) (1,143 ) 224,998 Net increase (decrease) in cash and cash equivalents 484,781 2,565 (112 ) — 487,234 Cash and cash equivalents, beginning of period 486,568 13,456 26,136 — 526,160 Cash and cash equivalents, end of period $ 971,349 $ 16,021 $ 26,024 $ — $ 1,013,394 13. CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDING CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (UNAUDITED) Nine Months Ended September 30, 2017 Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Combining and Consolidating Adjustments Total Cash flows from operating activities: Net income (loss) $ 255,164 $ (1,022,791 ) $ 5,727 $ 1,017,064 $ 255,164 Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities: Depreciation and amortization 15,746 175,859 5,760 — 197,365 Stock-based compensation — 13,549 — — 13,549 Change in fair value of catalyst leases — 1,011 — — 1,011 Deferred income taxes — — 641 — 641 Non-cash change in inventory repurchase obligations (26,659 ) — — — (26,659 ) Non-cash lower of cost or market inventory adjustment (97,943 ) — — — (97,943 ) Debt extinguishment costs 25,451 — — — 25,451 Pension and other post-retirement benefit costs 4,956 26,726 — — 31,682 Income from equity method investee — — (11,218 ) — (11,218 ) Distributions from equity method investee — — 16,897 — 16,897 Loss on sale of assets — 940 — — 940 Equity in earnings (loss) of subsidiaries 1,022,866 (5,802 ) — (1,017,064 ) — Changes in operating assets and liabilities: Accounts receivable (119,813 ) (1,782 ) (37,431 ) — (159,026 ) Due to/from affiliates (1,494,632 ) 1,451,846 40,468 — (2,318 ) Inventories (286,677 ) — (62,512 ) — (349,189 ) Prepaid and other current assets 4,200 (8,467 ) 160 — (4,107 ) Accounts payable (50,102 ) (58,691 ) 4,261 1,463 (103,069 ) Accrued expenses 365,132 (13,352 ) 49,894 — 401,674 Deferred revenue (7,687 ) (1,364 ) 7 — (9,044 ) Other assets and liabilities (14,472 ) (26,189 ) (16,726 ) — (57,387 ) Net cash (used in) provided by operations (404,470 ) 531,493 (4,072 ) 1,463 124,414 Cash flows from investing activities: Expenditures for property, plant and equipment (847 ) (210,076 ) (301 ) — (211,224 ) Expenditures for deferred turnaround costs — (341,598 ) — — (341,598 ) Expenditures for other assets — (31,096 ) — — (31,096 ) Equity method investment - return of capital — — 451 — 451 Due to/from affiliates (3,684 ) — — 3,684 — Net cash (used in) provided by investing activities (4,531 ) (582,770 ) 150 3,684 (583,467 ) Cash flows from financing activities: Contributions from PBF LLC 97,000 — — — 97,000 Distributions to members (39,315 ) — — — (39,315 ) Proceeds from 2025 Senior Notes 725,000 — — — 725,000 Cash paid to extinguish 2020 Senior Secured Notes (690,209 ) — — — (690,209 ) Repayments of PBF Rail Term Loan — — (4,959 ) — (4,959 ) Proceeds from revolver borrowings 490,000 — — — 490,000 Repayments of revolver borrowings (490,000 ) — — — (490,000 ) Due to/from affiliates — 3,684 — (3,684 ) — Deferred financing costs and other (13,424 ) — — — (13,424 ) Net cash provided by (used in) financing activities 79,052 3,684 (4,959 ) (3,684 ) 74,093 Net decrease in cash and cash equivalents (329,949 ) (47,593 ) (8,881 ) 1,463 (384,960 ) Cash and cash equivalents, beginning of period 530,085 56,717 41,366 (1,463 ) 626,705 Cash and cash equivalents, end of period $ 200,136 $ 9,124 $ 32,485 $ — $ 241,745 |
DESCRIPTION OF THE BUSINESS A_3
DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($)segment | Sep. 30, 2017USD ($) | Dec. 31, 2017 | |
Description of Business [Line Items] | |||||
Number of reportable segments | segment | 1 | ||||
Other non-service component of net periodic benefit costs | $ 278 | $ (103) | $ 833 | $ (305) | |
Cost of products and other | 6,876,698 | 4,411,809 | 18,578,457 | 13,326,396 | |
Less: net income (loss) attributable to noncontrolling interests | 35 | (6) | 43 | 374 | |
Income tax (benefit) expense | (719) | (4,292) | (5,403) | 2,040 | |
Operating expenses (excluding depreciation and amortization expense as reflected below) | 409,600 | 389,504 | 1,223,798 | 1,224,757 | |
Depreciation and amortization expense | 83,353 | 70,338 | 242,960 | 181,238 | |
Cost of Revenue | 7,369,651 | 4,871,651 | 20,045,215 | 14,732,391 | |
General and administrative expenses (excluding depreciation and amortization expense as reflected below) | 64,869 | 54,677 | 174,895 | 130,044 | |
Depreciation and amortization expense | 2,594 | 2,572 | 7,871 | 10,355 | |
Income from equity method investee | 4,725 | 3,799 | 13,110 | 11,218 | |
(Gain) loss on sale of assets | (43,745) | 28 | (43,072) | 940 | |
Costs and Expenses | $ 7,388,644 | $ 4,925,129 | $ 20,171,799 | $ 14,862,512 | |
PBF Energy [Member] | Class A Common Stock [Member] | |||||
Description of Business [Line Items] | |||||
Percentage of ownership in PBF LLC | 99.00% | 99.00% | 96.70% | ||
Torrance Valley Pipeline Company [Member] | |||||
Description of Business [Line Items] | |||||
Ownership percentage | 50.00% | 50.00% | |||
Torrance Valley [Member] | |||||
Description of Business [Line Items] | |||||
(Gain) loss on sale of assets | $ 43,761 |
REVENUES (Details)
REVENUES (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Revenues | $ 7,642,471 | $ 5,475,816 | $ 20,882,542 | $ 15,239,265 | |
Deferred revenue | 11,971 | 11,971 | $ 7,495 | ||
Gasoline And Distillate [Member] | |||||
Revenues | 6,227,509 | 4,657,279 | 17,563,586 | 12,900,465 | |
Other Refining and Marketing [Member] | |||||
Revenues | 552,683 | 193,519 | 1,195,589 | 728,880 | |
Asphalt and Residual Oil [Member] | |||||
Revenues | 544,943 | 361,401 | 1,251,007 | 834,260 | |
Chemicals [Member] | |||||
Revenues | 243,174 | 189,812 | 621,834 | 553,311 | |
Lubricants [Member] | |||||
Revenues | $ 74,162 | $ 73,805 | $ 250,526 | $ 222,349 |
INVENTORIES (Details)
INVENTORIES (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | Jun. 30, 2017 | Dec. 31, 2016 | |
Inventory [Line Items] | |||||||
Excess of Replacement or Current Costs over Stated LIFO Value | $ 12,037 | $ 12,037 | |||||
Crude oil and feedstocks | 1,055,654 | 1,055,654 | $ 1,073,093 | ||||
Refined products and blendstocks | 1,399,975 | 1,399,975 | 1,342,294 | ||||
Warehouse stock and other | 105,477 | 105,477 | 98,866 | ||||
Inventory, Gross | 2,561,106 | 2,561,106 | 2,514,253 | ||||
Lower of cost or market adjustment | 0 | $ 498,045 | 0 | $ 498,045 | (300,456) | $ 763,122 | $ 595,988 |
Inventories | 2,561,106 | 2,561,106 | 2,213,797 | ||||
Operating Income (Loss) | (253,827) | (550,687) | (710,743) | (376,753) | |||
Net income | 224,698 | 526,080 | 624,640 | 255,164 | |||
Titled Inventory [Member] | |||||||
Inventory [Line Items] | |||||||
Crude oil and feedstocks | 1,055,654 | 1,055,654 | 1,073,093 | ||||
Refined products and blendstocks | 1,060,841 | 1,060,841 | 1,030,817 | ||||
Warehouse stock and other | 105,477 | 105,477 | 98,866 | ||||
Inventory, Gross | 2,221,972 | 2,221,972 | 2,202,776 | ||||
Lower of cost or market adjustment | 0 | 0 | (232,652) | ||||
Inventories | 2,221,972 | 2,221,972 | 1,970,124 | ||||
Inventory Supply and Offtake Arrangements [Member] | |||||||
Inventory [Line Items] | |||||||
Crude oil and feedstocks | 0 | 0 | 0 | ||||
Refined products and blendstocks | 339,134 | 339,134 | 311,477 | ||||
Warehouse stock and other | 0 | 0 | 0 | ||||
Inventory, Gross | 339,134 | 339,134 | 311,477 | ||||
Lower of cost or market adjustment | 0 | 0 | (67,804) | ||||
Inventories | 339,134 | 339,134 | $ 243,673 | ||||
Scenario, Adjustment [Member] | |||||||
Inventory [Line Items] | |||||||
Operating Income (Loss) | $ (54,801) | $ (265,077) | $ (300,456) | $ (97,943) |
ACCRUED EXPENSES (Details)
ACCRUED EXPENSES (Details) - USD ($) | 3 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2017 | |
Repurchase Agreement Counterparty [Line Items] | ||
Operating Lease, Expense | $ 44,571,000 | |
Accrued Expenses: | ||
Inventory-related accruals | 1,451,142,000 | $ 1,151,810,000 |
Inventory intermediation agreements | 254,022,000 | 244,287,000 |
Sales and Excise Tax Payable | 122,405,000 | 118,515,000 |
Accrued transportation costs | 56,167,000 | 64,400,000 |
Accrued salaries and benefits | 55,366,000 | 58,589,000 |
Renewable energy credit and emissions obligations | 32,753,000 | 26,231,000 |
Accrued utilities | 32,371,000 | 42,189,000 |
Accrued interest | 28,934,000 | 9,466,000 |
Accrued capital expenditures | 25,997,000 | 17,342,000 |
Accrued refinery maintenance and support costs | 23,147,000 | 35,674,000 |
Customer deposits | 20,583,000 | 16,133,000 |
Environmental liabilities | 6,737,000 | 7,968,000 |
Other | 20,144,000 | 8,255,000 |
Total accrued expenses | 2,129,768,000 | $ 1,800,859,000 |
Early Termination Fee [Member] | ||
Repurchase Agreement Counterparty [Line Items] | ||
Operating Lease, Expense | 40,313,000 | |
Accelerated Lease Payment [Member] | ||
Repurchase Agreement Counterparty [Line Items] | ||
Operating Lease, Expense | 4,258,000 | |
Other Current Liabilities [Member] | ||
Repurchase Agreement Counterparty [Line Items] | ||
Operating Lease, Liability | 25,843,000 | |
Other Noncurrent Liabilities [Member] | ||
Repurchase Agreement Counterparty [Line Items] | ||
Operating Lease, Liability | $ 18,728,000 |
DEBT (Details)
DEBT (Details) - USD ($) | May 02, 2018 | Sep. 30, 2018 | Dec. 31, 2017 |
Debt Instrument [Line Items] | |||
Note payable | $ 0 | $ 5,621,000 | |
2025 Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate | 7.25% | ||
2023 Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate | 7.00% | ||
Revolving Credit Facility [Member] | Line of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Line of Credit | $ 350,000,000 | $ 350,000,000 | |
Revolving Credit Facility [Member] | Line of Credit [Member] | Maximum [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Line of Credit | $ 3,400,000,000 | ||
Line of Credit Facility, Commitment Fee Percentage | 0.25% | ||
Revolving Credit Facility [Member] | Line of Credit [Member] | Base Rate [Member] | Maximum [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 1.00% | ||
Revolving Credit Facility [Member] | Line of Credit [Member] | Base Rate [Member] | Minimum [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 0.25% | ||
Revolving Credit Facility [Member] | Line of Credit [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 2.00% | ||
Revolving Credit Facility [Member] | Line of Credit [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 1.25% | ||
Revolving Credit Facility [Member] | Line of Credit [Member] | Company Credit Rating [Member] | Maximum [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 1.75% | ||
Revolving Credit Facility [Member] | Line of Credit [Member] | Company Credit Rating [Member] | Minimum [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 1.00% | ||
Revolving Credit Facility [Member] | Accordion Feature [Member] | Maximum [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Line of Credit | $ 3,500,000,000 |
INCOME TAXES Income Taxes (Deta
INCOME TAXES Income Taxes (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | Dec. 31, 2015subsidiary | Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | |
Income Taxes [Line Items] | |||||
Number Of Subsidiaries Acquired | subsidiary | 2 | ||||
Current income tax expense (benefit) | $ 5 | $ 190 | $ (26) | $ 1,399 | |
Deferred income taxes | (724) | (4,482) | (5,377) | 641 | |
Income tax (benefit) expense | $ (719) | $ (4,292) | $ (5,403) | $ 2,040 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details) bbl / d in Thousands, bbl in Thousands, $ in Thousands | Jul. 31, 2018USD ($)Railcars_per_daybbl / dshares | Apr. 16, 2018USD ($)bbl | Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | May 08, 2017bbl / d |
Related Party Transaction [Line Items] | |||||||
Term of Renewal | 5 years | ||||||
Number of Contract Renewals | 2 | ||||||
Development Assets Acquisition [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Stock Issued During Period, Value, New Issues | $ 31,586 | ||||||
Stock Issued During Period, Shares, New Issues | shares | 1,494,134 | ||||||
PBF Logistics LP [Member] | Amended and Restated Rail Agreement [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Term of Agreement | 7 years 8 months | ||||||
Term of Renewal | 5 years | ||||||
Number of Contract Renewals | 2 | ||||||
Oil And Gas Plant, Collaborative Agreement, Minimum Throughput Capacity | bbl / d | 125 | ||||||
PBF Logistics LP [Member] | Omnibus Agreement [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Related Party Transaction, Annual Fee | $ 7,000 | ||||||
PBF Logistics LP [Member] | Services Agreement [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Related Party Transaction, Annual Fee | 8,587 | ||||||
PBF Logistics LP [Member] | Toledo Rail Loading Agreement [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Term of Agreement | 7 years 5 months | ||||||
Term of Renewal | 5 years | ||||||
Number of Contract Renewals | 2 | ||||||
Oil and Gas Plant, Collaborative Agreement, Maximum Throughput Capacity | Railcars_per_day | 50 | ||||||
PBF Logistics LP [Member] | Chalmette Terminal Throughput Agreement [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Term of Agreement | 1 year | ||||||
PBF Logistics LP [Member] | Chalmette Rail Unloading Agreement [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Term of Agreement | 7 years 5 months | ||||||
Term of Renewal | 5 years | ||||||
Number of Contract Renewals | 2 | ||||||
Oil And Gas Plant, Collaborative Agreement, Minimum Throughput Capacity | bbl / d | 8 | ||||||
PBF Logistics LP [Member] | DSL Ethanol Throughput Agreement [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Term of Agreement | 7 years 5 months | ||||||
Term of Renewal | 5 years | ||||||
Number of Contract Renewals | 2 | ||||||
Oil And Gas Plant, Collaborative Agreement, Minimum Throughput Capacity | bbl / d | 5 | ||||||
PBF Logistics LP [Member] | Cost of Sales [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Related party transaction, amounts of transaction | $ 66,140 | $ 62,359 | 190,789 | $ 176,916 | |||
PBF Logistics LP [Member] | General and Administrative Expense [Member] | Omnibus Agreement [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Related party transaction, amounts of transaction | 1,927 | 1,890 | 5,364 | 5,174 | |||
PBF Logistics LP [Member] | General and Administrative Expense [Member] | Services Agreement [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Related party transaction, amounts of transaction | $ 1,979 | $ 1,639 | $ 5,327 | $ 4,918 | |||
Knoxville Terminals [Member] | PBF Logistics LP [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Term of Agreement | 5 years | ||||||
Oil And Gas Plant, Maximum Storage Capacity | bbl | 115 | ||||||
Agreement Period Three [Member] | Knoxville Terminals [Member] | PBF Logistics LP [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Oil and Gas Plant, Collaborative Agreement, Minimum Revenue Commitment | 2,683 | ||||||
Agreement Period Two [Member] | Knoxville Terminals [Member] | PBF Logistics LP [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Oil and Gas Plant, Collaborative Agreement, Minimum Revenue Commitment | 1,788 | ||||||
Agreement Period One [Member] | Knoxville Terminals [Member] | PBF Logistics LP [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Oil and Gas Plant, Collaborative Agreement, Minimum Revenue Commitment | 894 | ||||||
Premium Product [Member] | PBF Logistics LP [Member] | Toledo Rail Loading Agreement [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Oil And Gas Plant, Collaborative Agreement, Minimum Throughput Capacity | Railcars_per_day | 11.500 | ||||||
Product [Member] | PBF Logistics LP [Member] | Toledo Rail Loading Agreement [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Oil And Gas Plant, Collaborative Agreement, Minimum Throughput Capacity | Railcars_per_day | 30 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) | Aug. 14, 2018USD ($) | Feb. 01, 2018USD ($) | Jan. 13, 2017group | Jul. 01, 2016USD ($) | Mar. 01, 2011 | Sep. 30, 2018USD ($)ppm | Dec. 31, 2010ppm | Dec. 31, 2017USD ($) |
Loss Contingencies [Line Items] | ||||||||
Percent of tax benefit received from increases in tax basis paid to stockholders | 85.00% | |||||||
Class A Common Stock [Member] | PBF Energy [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Percentage of ownership in PBF LLC | 99.00% | 96.70% | ||||||
Environmental Issue [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Environmental liability | $ 11,253,000 | $ 10,282,000 | ||||||
Discount rate used for environmental liability assessment | 8.00% | |||||||
Loss Contingency, Number Of Environmental Groups Appealing Permits | group | 2 | |||||||
Maximum amount of sulfur allowed in heating oil (in ppm) | ppm | 10 | |||||||
Public Utilities, Description of Specific Regulatory Liabilities | 80 | |||||||
Environmental Issue [Member] | New York [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Maximum amount of sulfur allowed in heating oil (in ppm) | ppm | 15 | |||||||
Environmental Issue [Member] | PENNSYLVANIA | ||||||||
Loss Contingencies [Line Items] | ||||||||
Maximum amount of sulfur allowed in heating oil (in ppm) | ppm | 500 | |||||||
Environmental Issue [Member] | Pending Litigation [Member] | SCAQMD [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Loss Contingency, Damages Sought, Value | $ 515,000 | |||||||
Environmental Issue [Member] | Chalmette Refinery [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Term of insurance policies | 10 years | |||||||
Environmental Costs Recognized, Recovery Credited to Expense | $ 3,936,000 | |||||||
Accrual For Environmental Loss Contingencies, Expected Payment Period | 30 years | |||||||
Environmental Insurance Policies Coverage | $ 100,000,000 | |||||||
Environmental Issue [Member] | Valero [Member] | Maximum [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Site Contingency, Loss Exposure Not Accrued, Best Estimate | $ 20,000,000 | |||||||
Environmental Issue [Member] | PBF Energy and Valero [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Term of insurance policies | 10 years | |||||||
Environmental Issue [Member] | PBF Energy and Valero [Member] | Maximum [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Site Contingency, Loss Exposure Not Accrued, Best Estimate | $ 75,000,000 | |||||||
Environmental Issue [Member] | Sunoco, Inc. [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Loss Contingency Accrual, Insurance-Related Assessment, Expiration Of Liability Period | 20 years | |||||||
Environmental Issue [Member] | Torrance Refinery [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Environmental liability | 133,025,000 | $ 136,487,000 | ||||||
Term of insurance policies | 10 years | |||||||
Environmental Issue [Member] | Torrance Refinery [Member] | California Department of Toxic Substance Control [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Loss Contingency, Damages Sought, Value | 150,000 | |||||||
Environmental Issue [Member] | Torrance Refinery [Member] | Other [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Loss Contingency, Damages Sought, Value | 100,000 | |||||||
Environmental Issue [Member] | Torrance Refinery [Member] | Maximum [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Site Contingency, Loss Exposure Not Accrued, Best Estimate | $ 100,000,000 | |||||||
Environmental Remediation Contingency [Domain] | Pending Litigation [Member] | Environmental Protection Agency [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Loss Contingency, Damages Sought, Value | $ 645,000 | |||||||
Environmental Remediation Contingency [Domain] | Pending Litigation [Member] | SCAQMD [Member] | ||||||||
Loss Contingencies [Line Items] | ||||||||
Loss Contingency, Damages Sought, Value | $ 150,000 |
EMPLOYEE BENEFIT PLANS (Details
EMPLOYEE BENEFIT PLANS (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Other non-service component of net periodic benefit costs | $ 278 | $ (103) | $ 833 | $ (305) |
Pension Plan, Defined Benefit [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 11,836 | 10,142 | 35,508 | 30,429 |
Interest cost | 1,448 | 1,084 | 4,344 | 3,252 |
Expected return on plan assets | (2,135) | (1,441) | (6,405) | (4,325) |
Amortization of prior service cost | 22 | 13 | 65 | 39 |
Amortization of actuarial loss | 71 | 113 | 214 | 339 |
Net periodic benefit cost | 11,242 | 9,911 | 33,726 | 29,734 |
Post Retirement Medical Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 287 | 316 | 861 | 948 |
Interest cost | 155 | 172 | 465 | 516 |
Amortization of prior service cost | 161 | 162 | 484 | 484 |
Net periodic benefit cost | $ 603 | $ 650 | $ 1,810 | $ 1,948 |
FAIR VALUE MEASUREMENTS (Measur
FAIR VALUE MEASUREMENTS (Measured on Recurring Basis) (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Current debt | $ 1,242 | $ 10,987 |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Defined Benefit Plan, Fair Value of Plan Assets | 9,427 | 9,593 |
Fair Value, Measurements, Recurring [Member] | Inventory Supply Arrangement Obligation [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 18,422 | 7,721 |
Derivative, Collateral, Right to Reclaim Cash | 0 | 0 |
Derivative Liability | 18,422 | 7,721 |
Fair Value, Measurements, Recurring [Member] | Inventory Supply Arrangement Obligation [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Inventory Supply Arrangement Obligation [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 18,422 | 7,721 |
Fair Value, Measurements, Recurring [Member] | Inventory Supply Arrangement Obligation [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Catalyst lease [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative, Collateral, Right to Reclaim Cash | 0 | 0 |
Catalyst lease obligations | 43,800 | 59,048 |
Fair Value, Measurements, Recurring [Member] | Catalyst lease [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Catalyst lease obligations | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Catalyst lease [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Catalyst lease obligations | 43,800 | 59,048 |
Fair Value, Measurements, Recurring [Member] | Catalyst lease [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Catalyst lease obligations | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Commodity contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 46,097 | 84,708 |
Derivative, Collateral, Right to Reclaim Cash | (18,725) | (10,388) |
Derivative Liability | 27,372 | 74,320 |
Fair Value, Measurements, Recurring [Member] | Commodity contract [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 24,202 | |
Derivative Liability | 51,673 | |
Fair Value, Measurements, Recurring [Member] | Commodity contract [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 21,895 | |
Derivative Liability | 33,035 | |
Fair Value, Measurements, Recurring [Member] | Commodity contract [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Money market funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 371,209 | 4,730 |
Fair Value, Measurements, Recurring [Member] | Money market funds [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 371,209 | 4,730 |
Fair Value, Measurements, Recurring [Member] | Money market funds [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Money market funds [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Commodity contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 18,725 | 10,388 |
Derivative assets, Effect of Counter-party Netting | (18,725) | (10,388) |
Derivative assets, Net Carrying Value on Balance Sheet | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Commodity contract [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 17,023 | 10,031 |
Fair Value, Measurements, Recurring [Member] | Commodity contract [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 1,702 | 357 |
Fair Value, Measurements, Recurring [Member] | Commodity contract [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets, Net Carrying Value on Balance Sheet | $ 0 | $ 0 |
FAIR VALUE MEASUREMENTS (Change
FAIR VALUE MEASUREMENTS (Change in Fair Value at Level 3) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Change in Fair Value Measurement Categorized in Level 3 [Roll Forward] | ||||
Transfers into Level 3 | $ 0 | $ 0 | $ 0 | $ 0 |
Commodity Contract [Member] | ||||
Change in Fair Value Measurement Categorized in Level 3 [Roll Forward] | ||||
Balance at beginning of period | 0 | 0 | 0 | (84,000) |
Purchases | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 45,000 |
Unrealized loss included in earnings | 0 | 0 | 0 | 39,000 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
Balance at end of period | $ 0 | $ 0 | $ 0 | $ 0 |
FAIR VALUE MEASUREMENTS (Fair V
FAIR VALUE MEASUREMENTS (Fair Value and Carrying Value of Debt) (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017USD ($)lease | Sep. 30, 2018USD ($) | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, Fair value | $ 1,723,460 | $ 1,707,153 |
Long-term Debt, Gross | 1,662,414 | 1,642,073 |
Current portion of long-term debt | (10,987) | (1,242) |
Long-Term Debt And Capital Lease Obligations, Current, Fair Value Disclosure | (10,987) | (1,242) |
Unamortized Debt Issuance Expense | $ (25,178) | (32,094) |
Number Of Platinum Leases Entered Into During Period | lease | 2 | |
Long-term debt | $ 1,626,249 | 1,608,737 |
Long-term debt, excluding current maturities, Fair value | 1,712,473 | 1,705,911 |
2023 Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, Carrying value | 500,000 | 500,000 |
Long-term debt, Fair value | 522,101 | 522,798 |
2025 Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, Carrying value | 725,000 | 725,000 |
Long-term debt, Fair value | 763,945 | 767,282 |
Catalyst lease [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, Carrying value | 59,048 | |
Long-term debt, Fair value | 59,048 | 43,800 |
Revolving Credit Facility [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Lines of Credit, Fair Value Disclosure | 350,000 | 350,000 |
Revolving Credit Facility [Member] | Line of Credit [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Line of Credit | 350,000 | 350,000 |
PBF Rail Logistics Company LLC [Member] | Notes Payable to Banks [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, Carrying value | 28,366 | 23,273 |
Long-term debt, Fair value | $ 28,366 | 23,273 |
Catalyst lease [Member] | Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Capital Lease Obligations [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, Carrying value | $ 43,800 | |
2025 Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument, interest rate | 7.25% | |
2023 Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument, interest rate | 7.00% |
DERIVATIVES (Narrative) (Detail
DERIVATIVES (Narrative) (Details) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018USD ($)bbl | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($)bbl | Sep. 30, 2017USD ($) | Dec. 31, 2017bbl | |
Derivative [Line Items] | |||||
Loss on fair value hedge ineffectiveness | $ | $ 0 | $ 0 | $ 0 | $ 0 | |
Intermediates and Refined Products Inventory [Member] | Fair Value Hedging [Member] | |||||
Derivative [Line Items] | |||||
Derivative, notional amount, volume | 2,966,904 | 2,966,904 | 3,000,142 | ||
Crude Oil Commodity Contract [Member] | Not Designated as Hedging Instrument [Member] | |||||
Derivative [Line Items] | |||||
Derivative, notional amount, volume | 11,126,000 | 11,126,000 | 22,348,000 | ||
Refined Product Commodity Contract [Member] | Not Designated as Hedging Instrument [Member] | |||||
Derivative [Line Items] | |||||
Derivative, notional amount, volume | 3,097,000 | 3,097,000 | 1,989,000 |
DERIVATIVES (Fair Value of Deri
DERIVATIVES (Fair Value of Derivative Instruments) (Details) - Accrued Expenses [Member] - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Designated as Hedging Instrument [Member] | Inventory Intermediation Agreement Obligation [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value Asset/(Liability) | $ (18,422) | $ (7,721) |
Not Designated as Hedging Instrument [Member] | Commodity Contract [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value Asset/(Liability) | $ (27,372) | $ (74,320) |
DERIVATIVES (Gain (Loss) Recogn
DERIVATIVES (Gain (Loss) Recognized in Income) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) on Fair Value Hedge Ineffectiveness, Net | $ 0 | $ 0 | $ 0 | $ 0 |
Designated as Hedging Instrument [Member] | Inventory Intermediation Agreement Obligation [Member] | Cost of Sales [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain or (Loss) Recognized in Income on Derivatives | (8,163,000) | (29,766,000) | (10,701,000) | (26,659,000) |
Designated as Hedging Instrument [Member] | Intermediates and Refined Products Inventory [Member] | Cost of Sales [Member] | Fair Value Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain or (Loss) Recognized in Income on Derivatives | 8,163,000 | 29,766,000 | 10,701,000 | 26,659,000 |
Not Designated as Hedging Instrument [Member] | Commodity Contract [Member] | Cost of Sales [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain or (Loss) Recognized in Income on Derivatives | $ (9,517,000) | $ (17,291,000) | $ (55,877,000) | $ (2,606,000) |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) | Oct. 31, 2018$ / shares |
Subsequent Event [Member] | PBF Energy [Member] | Class A Common Stock [Member] | |
Subsequent Event [Line Items] | |
Dividends declared per share | $ 0.3 |
CONDENSED CONSOLIDATING FINAN_3
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDINGS (Narrative) (Details) | 9 Months Ended |
Sep. 30, 2018 | |
PBF Services Company [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Percentage of ownership in subsidiaries | 100.00% |
Delaware City Refining Company LLC [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Percentage of ownership in subsidiaries | 100.00% |
Delaware Pipeline Company LLC [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Percentage of ownership in subsidiaries | 100.00% |
PBF Power Marketing LLC [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Percentage of ownership in subsidiaries | 100.00% |
Paulsboro Refining Company LLC [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Percentage of ownership in subsidiaries | 100.00% |
Paulsboro Natural Gas Pipeline Company LLC [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Percentage of ownership in subsidiaries | 100.00% |
Toledo Refining Company LLC [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Percentage of ownership in subsidiaries | 100.00% |
Investments LLC [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Percentage of ownership in subsidiaries | 100.00% |
Torrance Valley Pipeline Company [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Ownership percentage | 50.00% |
CONDENSED CONSOLIDATING FINAN_4
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDINGS (Balance Sheet) (Details) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2016 |
Current assets: | |||||
Cash and cash equivalents | $ 1,013,394 | $ 526,160 | $ 241,745 | $ 241,745 | $ 626,705 |
Accounts receivable | 1,064,801 | 951,129 | |||
Accounts receivable - affiliate | 17,659 | 8,352 | |||
Inventories | 2,561,106 | 2,213,797 | |||
Prepaid and other current assets | 58,187 | 49,523 | |||
Due from related parties | 0 | 0 | |||
Total current assets | 4,715,147 | 3,748,961 | |||
Property, plant and equipment, net | 2,860,390 | 2,805,390 | |||
Investment in subsidiaries | 0 | 0 | |||
Investment in equity method investee | 168,763 | 171,903 | |||
Deferred charges and other assets, net | 851,842 | 779,924 | |||
Total assets | 8,596,142 | 7,506,178 | |||
Current liabilities: | |||||
Accounts payable | 481,200 | 572,932 | |||
Accounts payable - affiliate | 33,454 | 40,817 | |||
Accrued expenses | 2,129,768 | 1,800,859 | |||
Current portion of long-term debt | 1,242 | 10,987 | |||
Deferred revenue | 11,971 | 7,495 | |||
Due to related parties | 0 | 0 | |||
Total current liabilities | 2,657,635 | 2,438,711 | |||
Long-term debt | 1,608,737 | 1,626,249 | |||
Deferred tax liabilities | 27,778 | 33,155 | |||
Investment in subsidiaries | 0 | ||||
Other long-term liabilities | 240,498 | 223,961 | |||
Due to Related Parties, Noncurrent | 0 | ||||
Total liabilities | 4,534,648 | 4,322,076 | |||
Commitments and contingencies | |||||
Equity: | |||||
Member’s equity | 2,648,182 | 2,359,791 | |||
Retained earnings / (accumulated deficit) | 1,428,938 | 840,431 | |||
Accumulated other comprehensive loss | (26,477) | (26,928) | |||
Total PBF Holding Company LLC equity | 4,050,643 | 3,173,294 | |||
Noncontrolling interest | 10,851 | 10,808 | |||
Total equity | 4,061,494 | 3,184,102 | |||
Total liabilities and equity | 8,596,142 | 7,506,178 | |||
Note payable | 0 | 5,621 | |||
Issuer [Member] | |||||
Current assets: | |||||
Cash and cash equivalents | 971,349 | 486,568 | 200,136 | 530,085 | |
Accounts receivable | 1,024,062 | 903,298 | |||
Accounts receivable - affiliate | 1,413 | 2,321 | |||
Inventories | 2,366,474 | 1,982,315 | |||
Prepaid and other current assets | 25,356 | 20,523 | |||
Due from related parties | 32,674,797 | 28,632,914 | |||
Total current assets | 37,063,451 | 32,027,939 | |||
Property, plant and equipment, net | 18,641 | 21,785 | |||
Investment in subsidiaries | 0 | 0 | |||
Investment in equity method investee | 0 | 0 | |||
Deferred charges and other assets, net | 18,595 | 30,141 | |||
Total assets | 37,100,687 | 32,079,865 | |||
Current liabilities: | |||||
Accounts payable | 344,287 | 413,829 | |||
Accounts payable - affiliate | 32,555 | 39,952 | |||
Accrued expenses | 1,732,674 | 1,409,212 | |||
Current portion of long-term debt | 0 | 0 | |||
Deferred revenue | 10,422 | 6,005 | |||
Due to related parties | 27,745,723 | 24,813,299 | |||
Total current liabilities | 29,865,661 | 26,682,297 | |||
Long-term debt | 1,543,186 | 1,550,206 | |||
Deferred tax liabilities | 0 | 0 | |||
Investment in subsidiaries | 1,582,991 | ||||
Other long-term liabilities | 47,355 | 30,612 | |||
Due to Related Parties, Noncurrent | 632,648 | ||||
Total liabilities | 33,039,193 | 28,895,763 | |||
Commitments and contingencies | |||||
Equity: | |||||
Member’s equity | 2,648,182 | 2,359,791 | |||
Retained earnings / (accumulated deficit) | 1,428,938 | 840,431 | |||
Accumulated other comprehensive loss | (26,477) | (26,928) | |||
Total PBF Holding Company LLC equity | 4,050,643 | 3,173,294 | |||
Noncontrolling interest | 10,851 | 10,808 | |||
Total equity | 4,061,494 | 3,184,102 | |||
Total liabilities and equity | 37,100,687 | 32,079,865 | |||
Note payable | 0 | ||||
Guarantor Subsidiaries [Member] | |||||
Current assets: | |||||
Cash and cash equivalents | 16,021 | 13,456 | 9,124 | 56,717 | |
Accounts receivable | 11,575 | 7,605 | |||
Accounts receivable - affiliate | 15,521 | 5,300 | |||
Inventories | 0 | 0 | |||
Prepaid and other current assets | 31,782 | 27,100 | |||
Due from related parties | 24,698,233 | 23,302,660 | |||
Total current assets | 24,773,132 | 23,356,121 | |||
Property, plant and equipment, net | 2,609,644 | 2,547,229 | |||
Investment in subsidiaries | 387,740 | 413,136 | |||
Investment in equity method investee | 0 | 0 | |||
Deferred charges and other assets, net | 833,213 | 749,749 | |||
Total assets | 28,603,729 | 27,066,235 | |||
Current liabilities: | |||||
Accounts payable | 117,388 | 137,149 | |||
Accounts payable - affiliate | 861 | 865 | |||
Accrued expenses | 120,001 | 122,722 | |||
Current portion of long-term debt | 1,242 | 10,987 | |||
Deferred revenue | 1,540 | 1,472 | |||
Due to related parties | 29,697,466 | 27,166,679 | |||
Total current liabilities | 29,938,498 | 27,445,495 | |||
Long-term debt | 42,558 | 48,024 | |||
Deferred tax liabilities | 0 | 0 | |||
Investment in subsidiaries | 0 | ||||
Other long-term liabilities | 188,998 | 189,204 | |||
Due to Related Parties, Noncurrent | 0 | ||||
Total liabilities | 30,170,054 | 27,682,723 | |||
Commitments and contingencies | |||||
Equity: | |||||
Member’s equity | 1,725,362 | 1,731,268 | |||
Retained earnings / (accumulated deficit) | (3,292,878) | (2,348,904) | |||
Accumulated other comprehensive loss | (9,660) | (9,660) | |||
Total PBF Holding Company LLC equity | (1,577,176) | (627,296) | |||
Noncontrolling interest | 10,851 | 10,808 | |||
Total equity | (1,566,325) | (616,488) | |||
Total liabilities and equity | 28,603,729 | 27,066,235 | |||
Note payable | 5,621 | ||||
Non-Guarantor Subsidiaries [Member] | |||||
Current assets: | |||||
Cash and cash equivalents | 26,024 | 26,136 | 32,485 | 41,366 | |
Accounts receivable | 29,164 | 40,226 | |||
Accounts receivable - affiliate | 725 | 731 | |||
Inventories | 194,632 | 231,482 | |||
Prepaid and other current assets | 1,049 | 1,900 | |||
Due from related parties | 9,068,281 | 6,820,693 | |||
Total current assets | 9,319,875 | 7,121,168 | |||
Property, plant and equipment, net | 232,105 | 236,376 | |||
Investment in subsidiaries | 0 | 0 | |||
Investment in equity method investee | 168,763 | 171,903 | |||
Deferred charges and other assets, net | 34 | 34 | |||
Total assets | 9,720,777 | 7,529,481 | |||
Current liabilities: | |||||
Accounts payable | 19,525 | 21,954 | |||
Accounts payable - affiliate | 38 | 0 | |||
Accrued expenses | 277,093 | 268,925 | |||
Current portion of long-term debt | 0 | 0 | |||
Deferred revenue | 9 | 18 | |||
Due to related parties | 8,998,122 | 6,776,289 | |||
Total current liabilities | 9,294,787 | 7,067,186 | |||
Long-term debt | 22,993 | 28,019 | |||
Deferred tax liabilities | 27,778 | 33,155 | |||
Investment in subsidiaries | 0 | ||||
Other long-term liabilities | 4,145 | 4,145 | |||
Due to Related Parties, Noncurrent | 0 | ||||
Total liabilities | 9,349,703 | 7,132,505 | |||
Commitments and contingencies | |||||
Equity: | |||||
Member’s equity | 327,691 | 343,940 | |||
Retained earnings / (accumulated deficit) | 43,383 | 53,036 | |||
Accumulated other comprehensive loss | 0 | 0 | |||
Total PBF Holding Company LLC equity | 371,074 | 396,976 | |||
Noncontrolling interest | 0 | 0 | |||
Total equity | 371,074 | 396,976 | |||
Total liabilities and equity | 9,720,777 | 7,529,481 | |||
Note payable | 0 | ||||
Consolidation, Eliminations [Member] | |||||
Current assets: | |||||
Cash and cash equivalents | 0 | 0 | $ 0 | $ (1,463) | |
Accounts receivable | 0 | 0 | |||
Accounts receivable - affiliate | 0 | 0 | |||
Inventories | 0 | 0 | |||
Prepaid and other current assets | 0 | 0 | |||
Due from related parties | (66,441,311) | (58,756,267) | |||
Total current assets | (66,441,311) | (58,756,267) | |||
Property, plant and equipment, net | 0 | 0 | |||
Investment in subsidiaries | (387,740) | (413,136) | |||
Investment in equity method investee | 0 | 0 | |||
Deferred charges and other assets, net | 0 | 0 | |||
Total assets | (66,829,051) | (59,169,403) | |||
Current liabilities: | |||||
Accounts payable | 0 | 0 | |||
Accounts payable - affiliate | 0 | 0 | |||
Accrued expenses | 0 | 0 | |||
Current portion of long-term debt | 0 | 0 | |||
Deferred revenue | 0 | 0 | |||
Due to related parties | (66,441,311) | (58,756,267) | |||
Total current liabilities | (66,441,311) | (58,756,267) | |||
Long-term debt | 0 | 0 | |||
Deferred tax liabilities | 0 | 0 | |||
Investment in subsidiaries | (1,582,991) | ||||
Other long-term liabilities | 0 | 0 | |||
Due to Related Parties, Noncurrent | (632,648) | ||||
Total liabilities | (68,024,302) | (59,388,915) | |||
Commitments and contingencies | |||||
Equity: | |||||
Member’s equity | (2,053,053) | (2,075,208) | |||
Retained earnings / (accumulated deficit) | 3,249,495 | 2,295,868 | |||
Accumulated other comprehensive loss | 9,660 | 9,660 | |||
Total PBF Holding Company LLC equity | 1,206,102 | 230,320 | |||
Noncontrolling interest | (10,851) | (10,808) | |||
Total equity | 1,195,251 | 219,512 | |||
Total liabilities and equity | $ (66,829,051) | (59,169,403) | |||
Note payable | $ 0 |
CONDENSED CONSOLIDATING FINAN_5
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDINGS (Statement of Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Revenues | $ 7,642,471 | $ 5,475,816 | $ 20,882,542 | $ 15,239,265 |
Cost and expenses: | ||||
Cost of products and other | 6,876,698 | 4,411,809 | 18,578,457 | 13,326,396 |
Operating expenses (excluding depreciation and amortization expense as reflected below) | 409,600 | 389,504 | 1,223,798 | 1,224,757 |
Depreciation and amortization expense | 83,353 | 70,338 | 242,960 | 181,238 |
Cost of sales | 7,369,651 | 4,871,651 | 20,045,215 | 14,732,391 |
General and administrative expenses (excluding depreciation and amortization expense as reflected below) | 64,869 | 54,677 | 174,895 | 130,044 |
Depreciation and amortization expense | 2,594 | 2,572 | 7,871 | 10,355 |
Equity income in investee | (4,725) | (3,799) | (13,110) | (11,218) |
Gain on sale of asset | (43,745) | 28 | (43,072) | 940 |
Total cost and expenses | 7,388,644 | 4,925,129 | 20,171,799 | 14,862,512 |
Income from operations | 253,827 | 550,687 | 710,743 | 376,753 |
Other income (expense): | ||||
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Change in fair value of catalyst leases | 1,630 | 473 | 5,783 | (1,011) |
Interest expense, net | (31,756) | (29,269) | (98,122) | (92,782) |
Other non-service component of net periodic benefit costs | 278 | (103) | 833 | (305) |
Income before income taxes | 223,979 | 521,788 | 619,237 | 257,204 |
Income tax (benefit) expense | (719) | (4,292) | (5,403) | 2,040 |
Net income | 224,698 | 526,080 | 624,640 | 255,164 |
Less: net income (loss) attributable to noncontrolling interests | 35 | (6) | 43 | 374 |
Net income attributable to PBF Holding Company LLC | 224,663 | 526,086 | 624,597 | 254,790 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 224,840 | 526,373 | 625,048 | 255,728 |
Debt extinguishment costs | 0 | 0 | 0 | (25,451) |
Guarantor Subsidiaries [Member] | ||||
Revenues | 460,805 | 223,582 | 1,514,588 | 983,917 |
Cost and expenses: | ||||
Cost of products and other | 279,448 | 85,031 | 1,040,893 | 615,093 |
Operating expenses (excluding depreciation and amortization expense as reflected below) | 400,953 | 380,864 | 1,200,736 | 1,200,113 |
Depreciation and amortization expense | 81,431 | 68,419 | 237,195 | 175,543 |
Cost of sales | 761,832 | 534,314 | 2,478,824 | 1,990,749 |
General and administrative expenses (excluding depreciation and amortization expense as reflected below) | 6,050 | 4,959 | 19,034 | 18,410 |
Depreciation and amortization expense | 0 | 0 | 0 | 0 |
Equity income in investee | 0 | 0 | 0 | 0 |
Gain on sale of asset | (43,745) | 28 | (43,072) | 940 |
Total cost and expenses | 724,137 | 539,301 | 2,454,786 | 2,010,099 |
Income from operations | (263,332) | (315,719) | (940,198) | (1,026,182) |
Other income (expense): | ||||
Equity in earnings of subsidiaries | 40 | 2,467 | (9,009) | 5,802 |
Change in fair value of catalyst leases | 1,630 | 473 | 5,783 | (1,011) |
Interest expense, net | (408) | (305) | (1,340) | (1,143) |
Other non-service component of net periodic benefit costs | 375 | (87) | 1,112 | (257) |
Income before income taxes | (261,695) | (313,171) | (943,652) | (1,022,791) |
Income tax (benefit) expense | 0 | 0 | 0 | 0 |
Net income | (261,695) | (313,171) | (943,652) | (1,022,791) |
Less: net income (loss) attributable to noncontrolling interests | 35 | (6) | 43 | 374 |
Net income attributable to PBF Holding Company LLC | (261,730) | (313,165) | (943,695) | (1,023,165) |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | (261,730) | (313,165) | (943,695) | (1,023,165) |
Debt extinguishment costs | 0 | |||
Non-Guarantor Subsidiaries [Member] | ||||
Revenues | 852,441 | 536,386 | 2,441,647 | 1,578,553 |
Cost and expenses: | ||||
Cost of products and other | 847,650 | 538,011 | 2,438,031 | 1,551,638 |
Operating expenses (excluding depreciation and amortization expense as reflected below) | 8,484 | 8,351 | 22,868 | 24,686 |
Depreciation and amortization expense | 1,922 | 1,919 | 5,765 | 5,695 |
Cost of sales | 858,056 | 548,281 | 2,466,664 | 1,582,019 |
General and administrative expenses (excluding depreciation and amortization expense as reflected below) | (485) | (146) | 1,694 | (736) |
Depreciation and amortization expense | 0 | 0 | 0 | 0 |
Equity income in investee | (4,725) | (3,799) | (13,110) | (11,218) |
Gain on sale of asset | 0 | 0 | 0 | 0 |
Total cost and expenses | 852,846 | 544,336 | 2,455,248 | 1,570,065 |
Income from operations | (405) | (7,950) | (13,601) | 8,488 |
Other income (expense): | ||||
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Change in fair value of catalyst leases | 0 | 0 | 0 | 0 |
Interest expense, net | (274) | (272) | (814) | (721) |
Other non-service component of net periodic benefit costs | 0 | 0 | 3 | 0 |
Income before income taxes | (679) | (8,222) | (14,412) | 7,767 |
Income tax (benefit) expense | (719) | (4,292) | (5,403) | 2,040 |
Net income | 40 | (3,930) | (9,009) | 5,727 |
Less: net income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Net income attributable to PBF Holding Company LLC | 40 | (3,930) | (9,009) | 5,727 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 40 | (3,930) | (9,009) | 5,727 |
Debt extinguishment costs | 0 | |||
Issuer [Member] | ||||
Revenues | 7,565,959 | 5,410,245 | 20,679,860 | 15,064,488 |
Cost and expenses: | ||||
Cost of products and other | 6,986,334 | 4,483,164 | 18,853,086 | 13,547,358 |
Operating expenses (excluding depreciation and amortization expense as reflected below) | 163 | 289 | 194 | (42) |
Depreciation and amortization expense | 0 | 0 | 0 | 0 |
Cost of sales | 6,986,497 | 4,483,453 | 18,853,280 | 13,547,316 |
General and administrative expenses (excluding depreciation and amortization expense as reflected below) | 59,304 | 49,864 | 154,167 | 112,370 |
Depreciation and amortization expense | 2,594 | 2,572 | 7,871 | 10,355 |
Equity income in investee | 0 | 0 | 0 | 0 |
Gain on sale of asset | 0 | 0 | 0 | 0 |
Total cost and expenses | 7,048,395 | 4,535,889 | 19,015,318 | 13,670,041 |
Income from operations | 517,564 | 874,356 | 1,664,542 | 1,394,447 |
Other income (expense): | ||||
Equity in earnings of subsidiaries | (261,695) | (319,568) | (943,652) | (1,022,866) |
Change in fair value of catalyst leases | 0 | 0 | 0 | 0 |
Interest expense, net | (31,074) | (28,692) | (95,968) | (90,918) |
Other non-service component of net periodic benefit costs | (97) | (16) | (282) | (48) |
Income before income taxes | 224,698 | 526,080 | 624,640 | 255,164 |
Income tax (benefit) expense | 0 | 0 | 0 | 0 |
Net income | 224,698 | 526,080 | 624,640 | 255,164 |
Less: net income (loss) attributable to noncontrolling interests | 35 | (6) | 43 | 374 |
Net income attributable to PBF Holding Company LLC | 224,663 | 526,086 | 624,597 | 254,790 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 224,840 | 526,373 | 625,048 | 255,728 |
Debt extinguishment costs | (25,451) | |||
Consolidation, Eliminations [Member] | ||||
Revenues | (1,236,734) | (694,397) | (3,753,553) | (2,387,693) |
Cost and expenses: | ||||
Cost of products and other | (1,236,734) | (694,397) | (3,753,553) | (2,387,693) |
Operating expenses (excluding depreciation and amortization expense as reflected below) | 0 | 0 | 0 | 0 |
Depreciation and amortization expense | 0 | 0 | 0 | 0 |
Cost of sales | (1,236,734) | (694,397) | (3,753,553) | (2,387,693) |
General and administrative expenses (excluding depreciation and amortization expense as reflected below) | 0 | 0 | 0 | 0 |
Depreciation and amortization expense | 0 | 0 | 0 | 0 |
Equity income in investee | 0 | 0 | 0 | 0 |
Gain on sale of asset | 0 | 0 | 0 | 0 |
Total cost and expenses | (1,236,734) | (694,397) | (3,753,553) | (2,387,693) |
Income from operations | 0 | 0 | 0 | 0 |
Other income (expense): | ||||
Equity in earnings of subsidiaries | 261,655 | 317,101 | 952,661 | 1,017,064 |
Change in fair value of catalyst leases | 0 | 0 | 0 | 0 |
Interest expense, net | 0 | 0 | 0 | 0 |
Other non-service component of net periodic benefit costs | 0 | 0 | 0 | 0 |
Income before income taxes | 261,655 | 317,101 | 952,661 | 1,017,064 |
Income tax (benefit) expense | 0 | 0 | 0 | 0 |
Net income | 261,655 | 317,101 | 952,661 | 1,017,064 |
Less: net income (loss) attributable to noncontrolling interests | (35) | 6 | (43) | (374) |
Net income attributable to PBF Holding Company LLC | 261,690 | 317,095 | 952,704 | 1,017,438 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ 261,690 | $ 317,095 | $ 952,704 | 1,017,438 |
Debt extinguishment costs | $ 0 |
CONDENSED CONSOLIDATING FINAN_6
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF PBF HOLDINGS (Statement of Cash Flows) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Condensed Financial Statements, Captions [Line Items] | ||||
Proceeds from Sale of Productive Assets | $ 48,290 | $ 0 | ||
Cash flows from operating activities: | ||||
Net income | $ 224,698 | $ 526,080 | 624,640 | 255,164 |
Adjustments to reconcile net income to net cash from operating activities: | ||||
Depreciation and amortization | 255,614 | 197,365 | ||
Stock-based compensation | 14,059 | 13,549 | ||
Change in fair value of catalyst leases | (5,783) | 1,011 | ||
Deferred income taxes | (724) | (4,482) | (5,377) | 641 |
Non-cash lower of cost or market inventory adjustment | (300,456) | (97,943) | ||
Non-cash change in inventory repurchase obligations | 10,701 | (26,659) | ||
Debt extinguishment costs | 0 | 0 | 0 | 25,451 |
Pension and other post-retirement benefit costs | 35,536 | 31,682 | ||
Income from equity method investee | (13,110) | (11,218) | ||
Distributions from equity method investee | 13,110 | 16,897 | ||
Loss on sale of assets | (43,072) | 940 | ||
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Changes in operating assets and liabilities: | ||||
Accounts receivable | (113,672) | (159,026) | ||
Due to/from affiliates | (16,670) | (2,318) | ||
Inventories | (46,853) | (349,189) | ||
Prepaid and other current assets | (8,664) | (4,107) | ||
Accounts payable | (106,155) | (103,069) | ||
Accrued expenses | 302,594 | 401,674 | ||
Deferred revenue | 4,476 | (9,044) | ||
Other assets and liabilities | (6,462) | (57,387) | ||
Net cash provided by operating activities | 594,456 | 124,414 | ||
Cash flows from investing activities: | ||||
Expenditures for property, plant and equipment | (165,675) | (211,224) | ||
Expenditures for deferred turnaround costs | (201,029) | (341,598) | ||
Expenditures for other assets | (16,946) | (31,096) | ||
Equity method investment - return of capital | 3,140 | 451 | ||
Due to/from affiliates | 0 | |||
Net cash used in investing activities | (332,220) | (583,467) | ||
Cash flows from financing activities: | ||||
Contributions from PBF LLC | (287,000) | (97,000) | ||
Distribution to members | (36,090) | (39,315) | ||
Proceeds from 2025 Senior Notes | 725,000 | |||
Repayments of Long-term Debt | (5,092) | (690,209) | ||
Proceeds from revolver borrowings | 0 | 490,000 | ||
Repayments of revolver borrowings | 0 | (490,000) | ||
Due to/from affiliates | 0 | 0 | ||
Proceeds from insurance premium financing | 6,959 | 0 | ||
Repayment of note payable | (5,621) | 0 | ||
Catalyst lease settlements | (9,466) | 0 | ||
Deferred financing costs and other | (12,692) | (13,424) | ||
Net cash provided by (used in) financing activities | 224,998 | 74,093 | ||
Net increase (decrease) in cash and cash equivalents | 487,234 | (384,960) | ||
Cash and equivalents, beginning of period | 241,745 | 526,160 | 626,705 | |
Cash and equivalents, end of period | 1,013,394 | 241,745 | 1,013,394 | 241,745 |
Rail Facility [Member] | ||||
Cash flows from financing activities: | ||||
Repayments of Long-term Debt | (4,959) | |||
Issuer [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Proceeds from Sale of Productive Assets | 0 | |||
Cash flows from operating activities: | ||||
Net income | 224,698 | 526,080 | 624,640 | 255,164 |
Adjustments to reconcile net income to net cash from operating activities: | ||||
Depreciation and amortization | 12,548 | 15,746 | ||
Stock-based compensation | 0 | 0 | ||
Change in fair value of catalyst leases | 0 | 0 | ||
Deferred income taxes | 0 | 0 | ||
Non-cash lower of cost or market inventory adjustment | (300,456) | (97,943) | ||
Non-cash change in inventory repurchase obligations | 10,701 | (26,659) | ||
Debt extinguishment costs | 25,451 | |||
Pension and other post-retirement benefit costs | 5,626 | 4,956 | ||
Income from equity method investee | 0 | 0 | ||
Distributions from equity method investee | 0 | 0 | ||
Loss on sale of assets | 0 | 0 | ||
Equity in earnings of subsidiaries | 261,695 | 319,568 | 943,652 | 1,022,866 |
Changes in operating assets and liabilities: | ||||
Accounts receivable | (120,764) | (119,813) | ||
Due to/from affiliates | (1,103,057) | (1,494,632) | ||
Inventories | (83,703) | (286,677) | ||
Prepaid and other current assets | (4,831) | 4,200 | ||
Accounts payable | (69,542) | (50,102) | ||
Accrued expenses | 300,546 | 365,132 | ||
Deferred revenue | 4,417 | (7,687) | ||
Other assets and liabilities | 32,188 | (14,472) | ||
Net cash provided by operating activities | 251,965 | (404,470) | ||
Cash flows from investing activities: | ||||
Expenditures for property, plant and equipment | (4,726) | (847) | ||
Expenditures for deferred turnaround costs | 0 | 0 | ||
Expenditures for other assets | 0 | 0 | ||
Equity method investment - return of capital | 0 | 0 | ||
Due to/from affiliates | (1,143) | |||
Net cash used in investing activities | (5,869) | (4,531) | ||
Cash flows from financing activities: | ||||
Contributions from PBF LLC | (287,000) | (97,000) | ||
Distribution to members | (36,090) | (39,315) | ||
Proceeds from 2025 Senior Notes | 725,000 | |||
Repayments of Long-term Debt | 0 | (690,209) | ||
Proceeds from revolver borrowings | 490,000 | |||
Repayments of revolver borrowings | (490,000) | |||
Due to/from affiliates | 0 | 0 | ||
Proceeds from insurance premium financing | 467 | |||
Repayment of note payable | 0 | |||
Catalyst lease settlements | 0 | |||
Deferred financing costs and other | (12,692) | (13,424) | ||
Net cash provided by (used in) financing activities | 238,685 | 79,052 | ||
Net increase (decrease) in cash and cash equivalents | 484,781 | (329,949) | ||
Cash and equivalents, beginning of period | 200,136 | 486,568 | 530,085 | |
Cash and equivalents, end of period | 971,349 | 971,349 | ||
Issuer [Member] | Rail Facility [Member] | ||||
Cash flows from financing activities: | ||||
Repayments of Long-term Debt | 0 | |||
Guarantor Subsidiaries [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Proceeds from Sale of Productive Assets | 48,290 | |||
Cash flows from operating activities: | ||||
Net income | (261,695) | (313,171) | (943,652) | (1,022,791) |
Adjustments to reconcile net income to net cash from operating activities: | ||||
Depreciation and amortization | 237,234 | 175,859 | ||
Stock-based compensation | 14,059 | 13,549 | ||
Change in fair value of catalyst leases | (5,783) | 1,011 | ||
Deferred income taxes | 0 | 0 | ||
Non-cash lower of cost or market inventory adjustment | 0 | 0 | ||
Non-cash change in inventory repurchase obligations | 0 | 0 | ||
Debt extinguishment costs | 0 | |||
Pension and other post-retirement benefit costs | 29,910 | 26,726 | ||
Income from equity method investee | 0 | 0 | ||
Distributions from equity method investee | 0 | 0 | ||
Loss on sale of assets | (43,072) | 940 | ||
Equity in earnings of subsidiaries | (40) | (2,467) | 9,009 | (5,802) |
Changes in operating assets and liabilities: | ||||
Accounts receivable | (3,970) | (1,782) | ||
Due to/from affiliates | 1,112,098 | 1,451,846 | ||
Inventories | 0 | 0 | ||
Prepaid and other current assets | (4,684) | (8,467) | ||
Accounts payable | (34,184) | (58,691) | ||
Accrued expenses | (5,962) | (13,352) | ||
Deferred revenue | 68 | (1,364) | ||
Other assets and liabilities | (21,757) | (26,189) | ||
Net cash provided by operating activities | 339,314 | 531,493 | ||
Cash flows from investing activities: | ||||
Expenditures for property, plant and equipment | (159,612) | (210,076) | ||
Expenditures for deferred turnaround costs | (201,029) | (341,598) | ||
Expenditures for other assets | (16,946) | (31,096) | ||
Equity method investment - return of capital | 0 | 0 | ||
Due to/from affiliates | 0 | |||
Net cash used in investing activities | (329,297) | (582,770) | ||
Cash flows from financing activities: | ||||
Contributions from PBF LLC | 0 | 0 | ||
Distribution to members | 0 | 0 | ||
Proceeds from 2025 Senior Notes | 0 | |||
Repayments of Long-term Debt | 0 | 0 | ||
Proceeds from revolver borrowings | 0 | |||
Repayments of revolver borrowings | 0 | |||
Due to/from affiliates | 1,143 | 3,684 | ||
Proceeds from insurance premium financing | 6,492 | |||
Repayment of note payable | (5,621) | |||
Catalyst lease settlements | (9,466) | |||
Deferred financing costs and other | 0 | 0 | ||
Net cash provided by (used in) financing activities | (7,452) | 3,684 | ||
Net increase (decrease) in cash and cash equivalents | 2,565 | (47,593) | ||
Cash and equivalents, beginning of period | 9,124 | 13,456 | 56,717 | |
Cash and equivalents, end of period | 16,021 | 16,021 | ||
Guarantor Subsidiaries [Member] | Rail Facility [Member] | ||||
Cash flows from financing activities: | ||||
Repayments of Long-term Debt | 0 | |||
Non-Guarantor Subsidiaries [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Proceeds from Sale of Productive Assets | 0 | |||
Cash flows from operating activities: | ||||
Net income | 40 | (3,930) | (9,009) | 5,727 |
Adjustments to reconcile net income to net cash from operating activities: | ||||
Depreciation and amortization | 5,832 | 5,760 | ||
Stock-based compensation | 0 | 0 | ||
Change in fair value of catalyst leases | 0 | 0 | ||
Deferred income taxes | (5,377) | 641 | ||
Non-cash lower of cost or market inventory adjustment | 0 | 0 | ||
Non-cash change in inventory repurchase obligations | 0 | 0 | ||
Debt extinguishment costs | 0 | |||
Pension and other post-retirement benefit costs | 0 | 0 | ||
Income from equity method investee | (13,110) | (11,218) | ||
Distributions from equity method investee | 13,110 | 16,897 | ||
Loss on sale of assets | 0 | 0 | ||
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Changes in operating assets and liabilities: | ||||
Accounts receivable | 11,062 | (37,431) | ||
Due to/from affiliates | (25,711) | 40,468 | ||
Inventories | 36,850 | (62,512) | ||
Prepaid and other current assets | 851 | 160 | ||
Accounts payable | (2,429) | 4,261 | ||
Accrued expenses | 8,010 | 49,894 | ||
Deferred revenue | (9) | 7 | ||
Other assets and liabilities | (16,893) | (16,726) | ||
Net cash provided by operating activities | 3,177 | (4,072) | ||
Cash flows from investing activities: | ||||
Expenditures for property, plant and equipment | (1,337) | (301) | ||
Expenditures for deferred turnaround costs | 0 | 0 | ||
Expenditures for other assets | 0 | 0 | ||
Equity method investment - return of capital | 3,140 | 451 | ||
Due to/from affiliates | 0 | |||
Net cash used in investing activities | 1,803 | 150 | ||
Cash flows from financing activities: | ||||
Contributions from PBF LLC | 0 | 0 | ||
Distribution to members | 0 | 0 | ||
Proceeds from 2025 Senior Notes | 0 | |||
Repayments of Long-term Debt | (5,092) | 0 | ||
Proceeds from revolver borrowings | 0 | |||
Repayments of revolver borrowings | 0 | |||
Due to/from affiliates | 0 | |||
Proceeds from insurance premium financing | 0 | |||
Repayment of note payable | 0 | |||
Catalyst lease settlements | 0 | |||
Deferred financing costs and other | 0 | 0 | ||
Net cash provided by (used in) financing activities | (5,092) | (4,959) | ||
Net increase (decrease) in cash and cash equivalents | (112) | (8,881) | ||
Cash and equivalents, beginning of period | 32,485 | 26,136 | 41,366 | |
Cash and equivalents, end of period | 26,024 | 26,024 | ||
Non-Guarantor Subsidiaries [Member] | Rail Facility [Member] | ||||
Cash flows from financing activities: | ||||
Repayments of Long-term Debt | (4,959) | |||
Consolidation, Eliminations [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Proceeds from Sale of Productive Assets | 0 | |||
Cash flows from operating activities: | ||||
Net income | 261,655 | 317,101 | 952,661 | 1,017,064 |
Adjustments to reconcile net income to net cash from operating activities: | ||||
Depreciation and amortization | 0 | 0 | ||
Stock-based compensation | 0 | 0 | ||
Change in fair value of catalyst leases | 0 | 0 | ||
Deferred income taxes | 0 | 0 | ||
Non-cash lower of cost or market inventory adjustment | 0 | 0 | ||
Non-cash change in inventory repurchase obligations | 0 | 0 | ||
Debt extinguishment costs | 0 | |||
Pension and other post-retirement benefit costs | 0 | 0 | ||
Income from equity method investee | 0 | 0 | ||
Distributions from equity method investee | 0 | 0 | ||
Loss on sale of assets | 0 | 0 | ||
Equity in earnings of subsidiaries | (261,655) | (317,101) | (952,661) | (1,017,064) |
Changes in operating assets and liabilities: | ||||
Accounts receivable | 0 | 0 | ||
Due to/from affiliates | 0 | 0 | ||
Inventories | 0 | 0 | ||
Prepaid and other current assets | 0 | 0 | ||
Accounts payable | 0 | 1,463 | ||
Accrued expenses | 0 | 0 | ||
Deferred revenue | 0 | 0 | ||
Other assets and liabilities | 0 | 0 | ||
Net cash provided by operating activities | 0 | 1,463 | ||
Cash flows from investing activities: | ||||
Expenditures for property, plant and equipment | 0 | 0 | ||
Expenditures for deferred turnaround costs | 0 | 0 | ||
Expenditures for other assets | 0 | 0 | ||
Equity method investment - return of capital | 0 | 0 | ||
Due to/from affiliates | 1,143 | |||
Net cash used in investing activities | 1,143 | 3,684 | ||
Cash flows from financing activities: | ||||
Contributions from PBF LLC | 0 | 0 | ||
Distribution to members | 0 | 0 | ||
Proceeds from 2025 Senior Notes | 0 | |||
Repayments of Long-term Debt | 0 | 0 | ||
Proceeds from revolver borrowings | 0 | |||
Repayments of revolver borrowings | 0 | |||
Due to/from affiliates | (1,143) | (3,684) | ||
Proceeds from insurance premium financing | 0 | |||
Repayment of note payable | 0 | |||
Catalyst lease settlements | 0 | |||
Deferred financing costs and other | 0 | 0 | ||
Net cash provided by (used in) financing activities | (1,143) | (3,684) | ||
Net increase (decrease) in cash and cash equivalents | 0 | 1,463 | ||
Cash and equivalents, beginning of period | $ 0 | 0 | (1,463) | |
Cash and equivalents, end of period | $ 0 | $ 0 | ||
Consolidation, Eliminations [Member] | Rail Facility [Member] | ||||
Cash flows from financing activities: | ||||
Repayments of Long-term Debt | $ 0 |